The company will subscribe to 26.7 million fully paid-up equity shares with a face value of Rs 10 each and a premium of Rs 35 per share, PhysicsWallah said in a stock exchange filing. The investment was approved by the company’s audit committee on Wednesday.
PhysicsWallah said its shareholding in FinZ Finance will remain unchanged after the transaction, and the entity will continue to be its wholly-owned subsidiary. The company also said the transaction qualifies as a related-party deal and has been carried out at arm’s length.
FinZ Finance, which received a non-banking financial company (NBFC) licence from the Reserve Bank of India in September last year, operates across leasing, hire purchase, and financing services. PhysicsWallah said the company may undertake a range of financing activities for consumers, individuals, and corporates. FinZ Finance had negligible revenue in FY25 and FY26, according to the filing.
PhysicsWallah, which listed on the bourses in last November, had first disclosed its lending plans in its draft red herring prospectus, where it said FinZ Finance had received an NBFC licence. Edtech companies typically either partner with lenders or build their own lending platforms to help students finance course purchases and subscriptions. The latest capital infusion indicates PhysicsWallah’s intent to expand this part of its business.
The company is also scheduled to report its March-quarter earnings later on Wednesday. In the previous quarter, PhysicsWallah reported a 34% year-on-year rise in operating revenues, at Rs 1,082.4 crore. Its revenue for the first nine months of FY26 surpassed its total sales in FY25, while net profit rose sharply to Rs 102 crore.