Edtech unicorn PhysicsWallah is actively exploring acquisition opportunities in the Union Public Service Commission (UPSC) preparation space, aiming to reinforce its footprint in India’s competitive exam coaching sector.
According to reports, the IPO-bound startup is currently assessing seven to eight coaching institutions, including well-established names such as Chaitanya Academy, Drishti IAS, and Rau’s IAS Study Circle. This strategic move aligns with PhysicsWallah’s broader expansion efforts in both online and offline learning domains.
This development comes shortly after media speculation around a potential INR 2,500 crore deal with Drishti IAS. Though publicly denied, the report reflects the scale of investment PhysicsWallah is prepared to make as it eyes leadership in the civil services coaching segment.
PhysicsWallah has been capitalising on its recent funding success, having secured $210 million (approximately INR 1,818 crore) in a round led by Lightspeed Venture Partners, GSV, and WestBridge. The funding round pegged the company’s post-money valuation at $2.8 billion, with a clear agenda towards geographical expansion and strategic acquisitions.
Founded in 2016 by Alakh Pandey as a YouTube channel, the company transformed into a full-fledged edtech platform in 2020. Since then, it has executed 11 major acquisitions and diversified its offerings across IIT-JEE, NEET, SSC, and UPSC coaching.
In 2023, it partnered with Utkarsh Classes to bolster its presence in state and central exam coaching. It has also earmarked INR 100 crore for further investments in its UPSC vertical.
Despite posting a net loss of INR 1,131.2 crore in FY24, the company saw a 2.6X surge in revenue to INR 1,940.4 crore, driven by operational expansion. As it gears up for a $500 million public listing, PhysicsWallah has onboarded major investment banks to steer its IPO ambitions.
