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PhysicsWallah, led by Alakh Pandey, is set for a Rs 3,820 crore IPO, aiming for a $5 billion valuation and expanding its reach to 9.88 crore learners across the country
Physicswallah is reportedly targeting a valuation of around $5 billion.
From a small YouTube channel offering free lessons to becoming one of the country’s leading edtech giants, PhysicsWallah is all set to script another milestone, a public debut in the stock market. Founded by Alakh Pandey, fondly known as “Alakh Sir” by lakhs of students, the company is preparing to launch its Initial Public Offering (IPO) worth approximately Rs 3,820 crore in the coming weeks, according to media reports.
PhysicsWallah, now a unicorn valued at over $1 billion, has already held discussions with potential investors. The proposed IPO will include the issuance of new shares worth Rs 3,100 crore, aimed at raising fresh capital, alongside an offer-for-sale (OFS) of Rs 720 crore by existing shareholders.
Both co-founders, Alakh Pandey and Prateek Maheshwari, who currently hold 40.35% stake each, are expected to offload a small portion of their shares. Among institutional investors, WestBridge Capital owns 6.41% and Hornbill Capital holds 4.42% in the firm.
The company had confidentially filed its draft IPO papers with the Securities and Exchange Board of India (SEBI) in March 2025, received approval in July, and submitted an updated draft red herring prospectus (DRHP) in September.
Where The IPO Funds Will Go
PhysicsWallah plans to utilise Rs 710 crore from the proceeds for marketing and brand promotion. Another Rs 548 crore will go towards lease payments for its existing offline and hybrid learning centres, Rs 460 crore for capital expenditure on new centres, and Rs 471 crore will be invested in its subsidiary, Xylem Learning Private Limited.
Ambitious Valuation Goals
The company is reportedly targeting a valuation of around $5 billion. In September 2024, it had raised $210 million at a valuation of $2.8 billion. Between FY23 and FY25, PhysicsWallah’s paid user base grew at a compound annual growth rate (CAGR) of 59%, reaching 44.6 crore students in FY25.
Despite its rapid expansion, the company continues to face financial headwinds. In FY24, PhysicsWallah reported revenue of Rs 1,940 crore but recorded a loss of nearly Rs 1,130 crore. Nonetheless, its reach remains unmatched, the platform today serves a community of 9.88 crore learners across its digital and offline channels.
October 31, 2025, 15:15 IST
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