PhysicsWallah, India’s leading edtech unicorn founded by Alakh Pandey, has officially received approval from the Securities and Exchange Board of India (SEBI) to file its IPO documents. This clearance makes PhysicsWallah the first edtech company in India to gain regulatory permission for a public listing. The approval was issued between July 14–18, 2025, covering a draft red herring prospectus filed confidentially in March.
The IPO is expected to raise approximately ₹4,000 crore (~US $533 million) through a combination of fresh capital and an offer-for-sale (OFS) by existing investors, with a proposed valuation of ₹35,000–40,000 crore (US $3.7–4.3 billion).
A Milestone Moment for the Edtech Sector
This development marks a major achievement for India’s edtech ecosystem. With investor interest still cautious toward the sector following pandemic-era valuation corrections, PhysicsWallah’s IPO could serve as a bellwether for startup capital markets and pave the way for other educational platforms to go public.
PhysicsWallah is among seven companies—including Saatvik Green Energy, Vinir Engineering, Pranav Constructions, Fujiyama Power Systems, SIS Cash Services, and Anlon Healthcare—that received SEBI clearance in the same July window. Meanwhile, Gaudium IVF and Women Health withdrew its draft proposal.
Company Overview Before IPO
Founded in 2016 as a YouTube channel by Alakh Pandey, PhysicsWallah evolved into a formal edtech platform by 2020. In 2022, it became India’s first edtech unicorn, valued at $2.8 billion. The company offers K‑12 and competitive exam prep content, supported by a growing network of offline learning centers and about 10 million app downloads. The Economic Times
In FY24, the company posted revenue of ₹1,940.4 crore and reported a net loss of ₹1,131 crore (adjusted loss: ₹375 crore). It expects strong growth from offline centers that contributed over ₹1,000 crore in revenue. The IPO process also saw corporate governance upgrades, including appointment of independent directors and conversion to a public limited structure.
What Lies Ahead
With SEBI’s approval secured, PhysicsWallah can now proceed to finalize the Draft Red Herring Prospectus (DRHP), determine the price band, and launch subscription for public and institutional investors.
If successful, the IPO will provide funding to accelerate expansion into tier‑2 and tier‑3 markets, scale offline operations, and support further product innovation—especially in AI-based tools like Aryabhata 1.0 and coaching initiatives tied to government partnerships.
✅ Summary
- PhysicsWallah has become the first Indian edtech firm to receive IPO approval from SEBI via the confidential pre-filing route.
- The company plans to raise around ₹4,000 crore (~US $533M) through fresh equity issuance and offers-for-sale at a ₹35,000–40,000 crore valuation.
- SEBI issued approvals to seven companies in July 2025, highlighting renewed investor interest in Indian tech startups.
- With strong offline and digital presence, and strategic governance changes, PhysicsWallah is positioned to become a major public edtech company.
