PhysicsWallah gears up for $500 million IPO, eyes $5 billion valuation

Just in September, the company secured $210 million in funding at a valuation of $2.8 billion. In less than a year, PhysicsWallah has set its sights on nearly doubling that valuation to $5 billion. This move comes despite the company reporting a revenue of ₹1,940 crore in FY24, coupled with a loss of approximately ₹1,130 crore.

Edtech startup PhysicsWallah looks to make a splash in the markets with an Initial Public Offering (IPO) planned in the next four to six months. The company aims to raise $500 million at a valuation of $5 billion. If successful, PhysicsWallah will become the first pure-play edtech company to debut on the stock exchange.

PhysicsWallah has enlisted prominent investment banks, including Axis Capital, Mahindra Capital, Goldman Sachs, and JP Morgan, to steer this significant financial milestone as its book-running lead managers. The announcement comes shortly after the company’s transition to a public-limited entity. The company is now officially known as PhysicsWallah Limited.

In September, the company secured $210 million in funding at a valuation of $2.8 billion. In less than a year, PhysicsWallah has set its sights on nearly doubling that valuation to $5 billion.

This move comes despite the company reporting a revenue of ₹1,940 crore in FY24, coupled with a loss of approximately ₹1,130 crore. The edtech giant’s journey to going public will undoubtedly be closely watched. Industry experts and investors are particularly interested in how PhysicsWallah plans to balance its growth aspirations with the need for profitability, especially as it navigates the competitive and rapidly evolving edtech landscape.

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