Physics Wallah (PW) has strengthened its presence in the UPSC coaching segment by acquiring a majority stake in Sarrthi IAS. The edtech company has invested ₹71.81 crore to increase its stake in the UPSC coaching platform from 40% to 51%, making Sarrthi IAS its subsidiary.
The latest investment is part of a long-term acquisition plan that started in 2025. With this move, Physics Wallah is expanding beyond JEE and NEET coaching and focusing more on government exam preparation, especially the UPSC Civil Services Examination.
Physics Wallah Increases Stake to 51%
Physics Wallah has bought an additional 11% stake in Guiding Light Education Technologies Private Limited, the company that operates Sarrthi IAS. The deal involved the purchase of 1,100 equity shares for ₹71.81 crore.
After this transaction, Physics Wallah’s ownership in the company has increased from 40% to 51%. This gives PW majority control, and Sarrthi IAS will now work as its subsidiary.
This is the second phase of the acquisition agreement signed between the two companies in September 2025. Under the original agreement, Physics Wallah plans to increase its stake to as much as 85% by FY31 through six different investment rounds.
The value of the future stake purchases will depend on Sarrthi IAS’ financial performance and EBITDA. However, for this second phase, Physics Wallah’s board approved an addendum that changed the valuation method and purchase amount, while all other terms of the original agreement remained the same.
The phased acquisition allows both companies to continue growing together while linking future investments to the company’s business performance.
Sarrthi IAS Shows Strong Financial Growth
Sarrthi IAS was founded in 2023 by Varun Jain and Dr. Shivin Chaudhry. The institute offers both online and offline coaching for UPSC aspirants. Its courses include foundation programmes, mentorship, prelims and mains preparation, revision classes and interview guidance.
In just a few years, the company has reported impressive financial growth.
Its operating revenue increased from ₹1.04 crore in FY24 to ₹28.46 crore in FY25. In FY26, the revenue grew further to ₹76.52 crore, showing a sharp rise in student enrolments and business expansion.
The company has also become highly profitable. Sarrthi IAS reported a Profit After Tax (PAT) of ₹39 crore in FY26. At the end of the financial year, its net worth stood at ₹33.96 crore.
The strong financial performance shows how quickly Sarrthi IAS has grown in India’s competitive UPSC coaching market, where experienced faculty, quality teaching and student results are important for success.
Why This Deal Is Important for Physics Wallah
Physics Wallah became popular through its affordable coaching for JEE and NEET students. Over the last few years, the company has expanded into several other education categories, including government exam preparation, commerce and skill-based learning.
The acquisition of Sarrthi IAS is another important step in that expansion.
With majority ownership of Sarrthi IAS, Physics Wallah is expected to strengthen its existing UPSC platform, PW OnlyIAS, and increase its presence in the growing civil services coaching market.
Sarrthi IAS will continue to follow its own teaching approach and faculty-led learning model. At the same time, it will benefit from Physics Wallah’s technology platform, digital infrastructure and wide student network. This combination is expected to help the institute reach more students across the country and improve the overall learning experience.
The deal also reflects a growing trend in India’s edtech industry, where large education companies are acquiring specialised coaching institutes to offer courses across different competitive exams.
Physics Wallah has already announced its plan to increase its stake in Sarrthi IAS to 85% by FY31. This shows that the company sees UPSC preparation as an important part of its long-term growth strategy. As competition in the government exam coaching sector continues to increase, this partnership could help Physics Wallah build a stronger position in one of India’s largest education markets.