PhysicsWallah Increases Stake to 75.50% in Utkarsh Classes

PhysicsWallah has successfully approved the third tranche of its investment in its subsidiary, Utkarsh Classes & Edutech Private Limited, elevating its ownership stake to 75.50%. In a regulatory announcement made on Monday, the company indicated that its audit committee has authorised the acquisition of 25,599 equity shares from current shareholders. This transaction will boost PhysicsWallah’s share from 63.25% to 75.50%.

Long-term Strategic Collaboration

The two firms have been engaged in a long-term strategic partnership since early 2023. This acquisition aligns with the multi-tranche Share Acquisition Terms Agreement (SATA) established in February 2023, which outlines PhysicsWallah’s intention to acquire a complete 100% ownership in Utkarsh Classes. The third tranche is set to be finalised through a cash payment of Rs 26.50 crore. This sum encompasses the purchase of shares with a face value of Rs 10 each, bought at a premium of Rs 10,342 per share.

About Utkarsh Classes

Established in November 2018, Utkarsh Classes operates within the education sector, managing coaching centres and providing educational resources along with course materials. The company recorded a turnover of Rs 168.96 crore in FY25, Rs 146.97 crore in FY24, and Rs 158.92 crore in FY23.

Future Acquisition Plans

PhysicsWallah anticipates completing the acquisition of the remaining stake by March 2028. This development follows closely after PhysicsWallah’s recent public listing. The firm debuted at Rs 145 on the stock exchanges, reflecting a premium of approximately 33% over the IPO price. The company generated around Rs 3,480 crore through the public issue, which included both a fresh issue and an offer for sale.