The Indian education sector entered a landmark moment when PhysicsWallah (PW) made its debut on the stock exchanges. The stock is listed at a 33 per cent premium on the NSE at Rs 145 and a 31.2 per cent premium on the BSE at Rs 143.10, against its issue price. The company’s Rs 3,480-crore IPO, subscribed more than 2 times, marks a historic milestone. This is one of India’s largest EdTech platforms transitioning from a startup success story into a publicly listed enterprise.
This listing signals a deeper structural shift. For the first time, investors will be able to participate meaningfully in the growth of a pure-play Indian EdTech leader. While India has long been home to legacy educational companies, very few have successfully captured technology-led learning at scale. PhysicsWallah’s debut opens that gateway.
Before PW, the Indian stock market had only a handful of education-focused listed companies and even they operated across distinct niches. Among them, MPS Ltd, with a market cap of around Rs 3,600 crore and Veranda Learning Solutions, at Rs 2,000 crore, stand out as the larger established names. In some ways, Veranda is the closest listed peer to PhysicsWallah, given its hybrid model and overlapping test-prep student base. MPS is a different category altogether, positioned more as a B2B education technology and publishing services company with clients across global institutions.
Understanding the Business Models of India’s Listed Education Firms
India’s Global B2B Learning & Publishing Backbone. MPS is structured as a full-stack solutions provider to global publishers, academic organisations and corporate learning teams. It does not serve retail students directly. Instead, it operates across three major verticals:
Content Solutions: editorial, design, authoring, digital transformation, accessibility and print-to-digital conversion.
Platform & Technology Solutions: publishing platforms, workflow systems, content management systems, analytics, hosting and subscription management.
Learning Solutions: custom e-learning modules, micro-learning, simulations, immersive digital experiences and gamified content for enterprise L&D.
In short, MPS plays a mission-critical role in the global knowledge sector, enabling the world’s largest publishers and corporates to digitise, distribute and monetise content.
Veranda Learning Solutions Ltd
The Hybrid Test-Prep & Upskilling Brand. Veranda positions itself in the B2C education market, targeting students preparing for competitive exams and working professionals seeking skill enhancement. Its offerings cover: State PSC exams, banking, insurance, SSC, railways, IAS and civil services, CA, CMA and commerce streams and Global upskilling programs via Edureka. Hybrid and classroom coaching through JK Shah Classes, Gate coaching, study-abroad training and more.
Veranda has grown aggressively through acquisitions, building a multi-vertical, multi-format education brand. It directly competes in several categories that PhysicsWallah dominates, especially in test preparation and hybrid learning.
Why India’s EdTech Sector Is Poised for Strong Long-Term Growth
India’s education ecosystem is one of the largest in the world and its structural transformation is accelerating. The data referenced in this analysis is sourced from the RHP report of PW, which provides detailed insights into India’s education and EdTech landscape. Several long-term forces are now converging to drive growth.
1. Massive Youth Demographic and Rising Aspirations: With one of the youngest populations globally, India’s education demand is structurally multi-decade. From K-12 to higher education, skill development, test prep, coding, vocational training and online certifications, every category is expanding. Aspirations are rising not just in metro cities but deeply across Tier-2, Tier-3 and rural markets.
2. Digital Penetration Beyond Urban India: Widespread availability of affordable smartphones and low-cost data has democratized access to learning. Students who previously lacked access to high-quality teachers or coaching institutions now learn from India’s best educators online. Hybrid models bridging online content with offline classrooms are gaining fast adoption.
3. The Bharat Opportunity: Tier-2 and Tier-3 are the Growth Engine: One of the most important observations from the Redseer dataset is that Bharat (small cities + towns) now contributes the majority of education sector growth. Whether it is online learning, offline coaching, or skill development, smaller towns are driving the highest enrollment increases. PhysicsWallah’s dominance in Bharat, Veranda’s classroom expansion and local coaching chains’ rapid scale-up validate this trend.
4. NEP 2020 and Policy Push: The National Education Policy (NEP 2020) is fundamentally reshaping Indian education. Its emphasis on multidisciplinary learning, flexibility, digital integration, skill development and vocational education is accelerating the shift toward tech-enabled educational ecosystems. Government investment in digital infrastructure and school modernisation further boosts the long-term outlook.
5. Rising Need for Professional & Vocational Upskilling: India’s workforce requires continuous upskilling, especially in digital capabilities, technology roles, AI/ML, analytics, sales, finance and management. Companies increasingly expect workers to adopt micro-learning, certifications and role-based training. This has led to tremendous growth in professional EdTech platforms and hybrid upskilling models.
6. Test Preparation Remains a High-Momentum Category: Competitive exams in India are among the toughest and most volume-driven in the world. From UPSC to JEE, NEET, banking, state-level tests and professional exams, the overall market size continues to expand. Digital adoption has accelerated preparation cycles, mock tests, doubt sessions and hybrid learning.
7. Strong Investor Interest in Scalable EdTech Models: The success of PhysicsWallah’s IPO signals renewed investor confidence. After the post-pandemic correction in EdTech valuations, the market is now stabilising around profitable, hybrid and Bharat-focused players. Investors are rewarding companies that show operational discipline, clear profitability paths and diversified revenue streams.
The Road Ahead: How the EdTech Sector Is Likely to Evolve
India’s education sector is heading into a new era where online, offline and hybrid formats coexist strategically rather than compete. The next decade will be driven by companies that offer affordable, outcome-oriented learning backed by strong technology and teacher-led delivery. While listed players like PhysicsWallah and Veranda expand their hybrid networks, the unlisted giants will continue shaping industry direction. Platforms such as BYJU’S, Unacademy, UpGrad, Vedantu, Simplilearn and CUET/NEET-focused regional players remain deeply influential across test prep, K-12 and professional upskilling.
The sector is also witnessing a shift from high-burn growth models to profitability-focused, Bharat-centric strategies. AI-enabled personalised learning, smart classrooms, micro-certifications and vocational training will define the next wave of innovation. EdTech companies that combine content quality with data-driven student insights, clear learning outcomes and strong physical presence will dominate. India's massive youth population, rising aspirations, Tier-2 and Tier-3 adoption and policy support through NEP 2020 ensure long-term sector tailwinds. Together, these trends indicate that EdTech in India is poised for sustainable expansion, deeper regional penetration and more mature capital market participation in the years ahead.
Investor Takeaway
PhysicsWallah’s successful listing is not just an IPO milestone; it is a defining moment for India's EdTech landscape. With only a few listed education companies available earlier, investors now have access to a fast-growing, technology-driven learning platform with national reach. Coupled with emerging demand drivers, India's education sector is entering one of its most exciting and transformative phases.
Disclaimer: The article is for informational purposes only and not investment advice.
India’s Education Sector Enters a New Phase of Market Discovery as PhysicsWallah Debuts on Stock Exchanges