Edtech giant PhysicsWallah plans $500M IPO, eyes $5B valuation
What's the story
Indian edtech giant, PhysicsWallah, is gearing up for an Initial Public Offering (IPO) in the next four to six months. The company plans to raise $500 million through the IPO, with a valuation of $5 billion in mind. If the deal goes through, PhysicsWallah will become the first pure-play edtech company to debut on the stock exchange.
Strategic partnerships
PhysicsWallah enlists top investment banks for IPO
PhysicsWallah has joined hands with top investment banks including Axis Capital, Mahindra Capital, Goldman Sachs, and JP Morgan. These financial institutions will act as book-running lead managers for the company's IPO. This comes after PhysicsWallah recently became a public-limited company, now officially called PhysicsWallah Limited.
Financial overview
Valuation journey and financial performance
In September, PhysicsWallah raised $210 million at a valuation of $2.8 billion. The company now hopes to nearly double this valuation to $5 billion within a year. This ambitious target comes even as the firm posted a revenue of ₹1,940 crore in FY24 and a loss of about ₹1,130 crore.
Market anticipation
PhysicsWallah's public debut draws industry attention
PhysicsWallah's path to becoming a publicly-traded company is drawing considerable interest from industry experts and investors alike. They are closely watching how the edtech giant will reconcile its growth ambitions with profitability requirements, in the competitive and fast-paced edtech space.