Edtech company PhysicsWallah (PW) has approved an investment of Rs 71.8 crore in UPSC coaching platform Sarrthi IAS. The transaction will increase its stake in the company from 40% to 51%, making Sarrthi IAS a subsidiary, according to a stock exchange filing. The investment is part of the second tranche of PW's acquisition ofGuiding Light Education Technologies Private Limited, which operates under the Sarrthi IAS brand. The company's board also approved an addendum to the share purchase agreement to revise the valuation methodology and purchase consideration for the second tranche, while leaving the remaining terms of the transaction unchanged. As part of the transaction, PW will acquire1,100 equity shares, representing an additional11% stake, for an aggregate consideration ofRs 71.81 crore. Following the completion of the tranche, Sarrthi IAS will become a subsidiary of the listed edtech firm. The latest investment comes around 10 months after Entrackr exclusively reported that PhysicsWallah hadacquired a40% stakein Sarrthi IAS ahead of its public listing. The acquisition was disclosed in the company's IPO prospectus in November 2025, which stated that PW had signed share purchase and shareholders' agreements with Sarrthi IAS and its promoters in September 2025 to acquireup to 85%of the company insix tranches between FY26 and FY31, with the valuation linked to an EBITDA based mechanism. Founded in 2023, Sarrthi IAS provides online and offline coaching for UPSC Civil Services and other competitive examinations. According to the filing, the company recordedRs 76.52 crorein revenue in FY26, compared withRs 28.46 crorein FY25 andRs 1.04 crorein FY24. It had a net worth ofRs 33.96 croreat the end of FY26. The company said the acquisition is expected to strengthen its presence in the UPSC and civil services examination preparation segment as it expands beyond its core K12 and test preparation business. Bareback Media has recently raised funding from a group of investors. Some of the investors may directly or indirectly be involved in a competing business or might be associated with other companies we might write about. This shall, however, not influence our reporting or coverage in any manner whatsoever. You may find a list of our investorshere.
