Edtech firm Imarticus Learning to file DRHP in 4-5 months for IPO plans

Imarticus Learning, an edtech firm offering professional courses, plans to file its Draft Red Herring Prospectus (DRHP) in the next four to five months as part of its initial public offering (IPO) plans. Imarticus will join other edtech sector firms—PhysicsWallah, Classplus, and Simplilearn—in making its public market debut.

 

"We expect to file the DRHP within the next four to five months. That's our timeline. Once we secure approval from the Securities and Exchange Board of India (Sebi), we’ll assess market conditions to ensure favourable feedback for our IPO listing," Nikhil Barshikar, the firm's founder and chief executive officer, exclusively told Business Standard.

 

Barshikar outlined three key milestones for the IPO process: filing with Sebi, obtaining approval, and finally, determining the optimal market timing for the listing. The company aims to complete the first two milestones within the next six months, with a public listing targeted between FY26 and early FY27.

 

Imarticus is currently in advanced discussions with investment banking firms, including IIFL, for its upcoming IPO.

 

Regarding valuation, Barshikar said the company aims for the highest possible value. “The bankers are telling us anywhere from 25 to 30 times, which translates to about Rs 2,500 crore,” he added. The company is seeking to raise at least Rs 750 crore to support its growth initiatives, primarily through acquisition to strengthen its position in the edtech sector.

 

The total offer size of Rs 750 crore will include a Rs 500 crore secondary share sale and a Rs 250 crore primary issuance.

 

The firm is backed by Global Ivy Ventures, Caspian, and BLinC Invest. The company has raised a total of $11.7 million. The latest funding round raised $5.6 million in Series C in 2023 and has a post-money valuation of $123 million, according to Tracxn.

 

“We have a full-on team, we are working with lawyers and marketing agencies, and have identified most of our vendor partners. Over the next 15 to 20 days, we'll finalise those vendor partners, like lawyers, and other service providers,” Barshikar added.

 

Given the volatility in the edtech sector, Barshikar emphasised that Imarticus Learning will not position itself as an ‘edtech’ firm in its DRHP. “It is not tech for the sake of tech, but tech for enablement. So, one view we have is that we are an education company and not an edtech company. The word 'tech' throws people off. I am going to rebrand my company as an education company, which I have already started. My DRHP will not have the word 'edtech'.”