Alakh Pandey's PhysicsWallah to acquire Vikas Divyakirti's Drishti IAS for this huge amount? Here's what we know

Edtech unicorn PhysicsWallah is reportedly in advanced discussions to acquire Drishti IAS Institute, a prominent UPSC coaching platform founded by Dr Vikas Divyakirti. If finalised, this acquisition would be the largest in the edtech sector in recent years. According to reports in the Entrackr, the deal is valued between Rs 2,500–3,000 crore and has been under negotiation since January 2025. Payments for the acquisition are expected to be made in tranches, contingent on future performance milestones.

This development coincides with PhysicsWallah’s preparations for its initial public offering (IPO), through which the Noida-based company aims to raise $500 million at a valuation of $5 billion. Recently, PhysicsWallah appointed three independent directors as part of its IPO readiness strategy. Despite these reports, Vivek Tiwari, CEO of Drishti IAS, dismissed the rumours, stating that no agreements have been finalized.

Drishti IAS' Mukherjee Nagar branch contributes 58% of its revenue, followed by centers in Prayagraj, Jaipur and Karol Bagh. In FY24, Drishti IAS reported Rs 405 crore in revenue and Rs 90 crore profit after tax.

PhysicsWallah, established nine years ago by Alakh Pandey, has evolved into a comprehensive edtech platform offering live and recorded lectures, test series, study materials, and hybrid coaching centers. The company raised $210 million in a Series B funding round last year at a valuation of $2.8 billion. Its revenue surged to Rs 1,940.4 crore in FY24 from ₹744.3 crore in FY23; however, losses increased significantly to Rs 1,131 crore in FY24 from Rs 84 crore the previous year.