Edtech startup PhysicsWallah, which focuses on test preparation for admission to engineering and medical colleges, has raised $100 million in its Series A funding round from WestBridge and GSV Ventures.
In the process, the company has also entered the unicorn club of startups with a valuation of $1 billion or more.
This development comes even as a clutch of India’s most funded edtech ventures are re-evaluating their business plans and firing employees to cut the flab.
The Noida-based startup said it will use the money for business expansion, branding, opening more learning centres and introduce new course offerings.
The startup was launched two years ago by Alakh Pandey and Prateek Maheshwari as an app. Pandey had previously been running a YouTube channel.
Sandeep Singhal, managing director, WestBridge Capital, said, “The Indian edtech ecosystem has grown considerably over the last two years. However, recent developments have demonstrated the first-hand importance of an efficient edtech Infrastructure. PhysicsWallah creates long-tail value for learners by delivering high-quality education at a democratic price.”
PhysicsWallah says it has been profitable since inception with positive cash flows and reserves. It has projected its revenue to grow to $65 million in the current financial year.
The company claims it has over 8.5 million subscribers with a target of reaching over 250 million students by 2025.
Digital lending startup FlexiLoans said Tuesday it has scooped up around $90 million as part of its Series B funding round from Danish investor MAJ Invest, UK-based fintech investor Fasanara Capital and family offices of Harry Banga and Yogesh Mahansaria.
Existing shareholders including former KKR India CEO Sanjay Nayar, who now runs VC firm Sorin Investments, also participated. The funding round included $28 million in equity and the rest via debt commitments.
FlexiLoans had previously raised around $20 million across its seed and Series A investment rounds. It claims to be one of the largest embedded ﬁnance players in India with more than 120 partners including e-commerce giants like Amazon and Flipkart as well as Nykaa, Myntra and others for financing sellers/vendors associated with these platforms.
The company says it disburses over Rs 100 crore monthly and plans to double this over the next year, with its co-lending platform being a key driver of growth.