PhysicsWallah IPO aims to raise ₹3,820 crore, marking India’s first edtech unicorn listing. Learn details on valuation, usage of funds, and growth strategy.
TheInterviewTimes.com | New Delhi | October 30, 2025 — In a major development for India’s startup ecosystem, PhysicsWallah IPO has been officially confirmed. The company plans to raise ₹3,820 crore ($431 million) through a mix of fresh equity and an offer for sale (OFS).
This much-anticipated PhysicsWallah IPO marks a historic moment as the first-ever public listing by an Indian edtech unicorn.
The IPO comprises a fresh equity issue of ₹3,100 crore and an OFS worth ₹720 crore by co-founders Alakh Pandey and Prateek Boob, who each hold around 40.35% of the company. With this offering, PhysicsWallah aims for a valuation close to $5 billion, nearly doubling its $2.8 billion valuation from its September 2024 funding round.
How the PhysicsWallah IPO Funds Will Be Used
According to the company’s draft red herring prospectus (DRHP), proceeds from the PhysicsWallah IPO will be allocated strategically to accelerate expansion and operational efficiency.
- ₹710 crore will go toward marketing and brand-building initiatives.
- ₹548 crore will cover lease payments for existing offline and hybrid centers.
- ₹460 crore is earmarked for capital expenditure on new centers.
- ₹471 crore will be invested in the company’s subsidiary Xylem Learning to strengthen regional learning platforms.
As of March 31, 2025, PhysicsWallah operates 198 offline centers and aims to scale this number significantly.
The company’s hybrid education model — combining digital learning with physical classrooms — is central to its growth strategy and a key factor driving investor interest in the PhysicsWallah IPO.
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Strong Financial Growth Ahead of the PhysicsWallah IPO
Despite a volatile edtech market, PhysicsWallah has outperformed its peers. The company reported 44.6 lakh paid users in FY25, growing at a compound annual rate of 59% since FY23. Revenue surged 49% year-over-year to ₹2,887 crore in FY25, while losses shrank dramatically from ₹1,131 crore to ₹243 crore.
This financial turnaround comes at a time when other major players like Byju’s and Unacademy are struggling with valuation corrections and layoffs. The strong fundamentals make the PhysicsWallah IPO one of the most promising listings in India’s 2025 financial calendar.
From YouTube Channel to Unicorn: The PhysicsWallah Journey
Founded in 2016 by Alakh Pandey as a humble YouTube channel offering free physics tutorials, PhysicsWallah has grown into a comprehensive edtech platform. Today, it offers courses across K–12, JEE, NEET, UPSC, study abroad, and professional upskilling segments.
The company’s main YouTube channel now boasts over 1.37 crore subscribers, and its digital-first approach has helped it capture a loyal base, particularly across Tier-II and Tier-III cities in India. The platform’s affordability and localized teaching model have made it a household name among aspiring students.
Co-founder Alakh Pandey’s inspiring journey from a small-town teacher to a billionaire entrepreneur has become part of startup folklore. With an estimated net worth of ₹14,510 crore, Pandey ranks among the youngest entrepreneurs on the Hurun India Rich List 2025, adding further public interest in the upcoming PhysicsWallah IPO.
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Who’s Managing the PhysicsWallah IPO?
The PhysicsWallah IPO is being managed by top financial institutions, including Kotak Mahindra Capital, JPMorgan India, Goldman Sachs India, and Axis Capital. The Securities and Exchange Board of India (SEBI) approved the IPO through the confidential pre-filing route in July 2025, paving the way for a likely launch in November 2025.
These global and domestic banking partners are expected to ensure strong institutional participation, both from Indian mutual funds and foreign investors eyeing India’s rapidly expanding edtech sector.
Why the PhysicsWallah IPO Matters for India’s Edtech Future
The PhysicsWallah IPO is more than just a fundraising event — it’s a statement of confidence in the resilience of India’s edtech ecosystem. While many competitors have faced down rounds and revenue challenges post-pandemic, PhysicsWallah’s focus on affordable education, offline expansion, and sustainable profitability has set it apart.
Industry analysts believe the IPO’s success could rejuvenate investor confidence in the broader edtech sector, potentially paving the way for other players to follow suit. The company’s diversified business model — blending content, coaching, and community — provides a blueprint for sustainable growth in education technology.
Conclusion: PhysicsWallah IPO Ushers a New Era for Indian Edtech
As India eagerly awaits the PhysicsWallah IPO, the offering represents a turning point for the nation’s startup landscape. By becoming the first Indian edtech unicorn to go public, PhysicsWallah is not only redefining investor expectations but also signaling a new era for educational innovation in the country.
With strong financials, a visionary founder, and a rapidly expanding offline network, the PhysicsWallah IPO could well become one of 2025’s most successful listings — and a symbol of how purpose-driven startups can thrive even in turbulent times.