Indian ed-tech platform PhysicsWallah files for $437 million IPO

Indian ed-tech platform PhysicsWallah files for $437 million IPO

Indian education technology (ed-tech) platform PhysicsWallah has filed for an initial public offering (IPO) worth $437 million, according to draft papers submitted to the market regulator [2]. The company aims to raise $31 billion through fresh shares, with the remaining $2.8 billion coming from a sale offer by co-founders Alakh Pandey and Prateek Maheshwari [2].

PhysicsWallah, valued at $2.8 billion in September 2024, plans to use the proceeds from the IPO to set up physical coaching centers, cover rent, boost technology and marketing, and fund acquisitions [2]. The company has seen significant growth, with its operating revenue growing at a 97% compound annual growth rate (CAGR) between FY23 and FY25 [1]. The number of unique transacting users online grew at a 56.8% CAGR over the same period [1].

The IPO filing comes as the Indian ed-tech industry has been facing challenges, with major players like Byju's experiencing financial distress and staff cuts at companies like Unacademy and Vedantu [2]. However, the market for new listings has been picking up pace, with other companies like Milky Mist and Urban Company also filing for IPOs [2].

PhysicsWallah was founded in 2016 as a YouTube channel and incorporated in 2020. It has since expanded into a full-stack education platform offering online classes, offline centers, test prep, and skilling services [1]. The company's offline presence has grown rapidly, with the number of centers scaling at a 166% CAGR between FY23 and FY25 [1].

The IPO is expected to be the first major listing for an Indian ed-tech company after the sector's recent downturn. The company's growth and expansion plans make it an attractive investment opportunity for those looking to capitalize on the growing ed-tech market in India [1].

References:

[1] https://m.economictimes.com/tech/technology/physicswallah-files-updated-papers-for-rs-3820-crore-ipo-alakh-pandey-prateek-maheshwari-to-pare-stake/articleshow/123742997.cms
[2] https://www.reuters.com/world/india/indian-ed-tech-platform-physicswallah-files-437-million-ipo-2025-09-07/