📚 PhysicsWallah’s ₹3,000 Cr Flex

🌞 Good Morning, It’s Tuesday!

Welcome to the April 1 edition of Masala Chai — and no, we're not pulling any April Fool's pranks today (except maybe on sugar companies 👀). From billion-dollar snack attacks and AI matchmakers to IPO dreams and a looming global tariff tangle, it's a full plate. Pour yourself a cup of kadak chai, and let’s get into it.

🫖 Chai Shots

• 🏥 Ankura Hospitals grabs ₹165 Cr from ADB: Hyderabad-based Ankura Hospitals, focused on maternity and pediatric care, raised ₹165 crore from the Asian Development Bank to fuel its nationwide expansion. With 1,500+ beds across 14 hospitals, the chain plans to enhance access to advanced care for women and children across India.

• 📚 PhysicsWallah eyes massive Drishti IAS acquisition: Edtech unicorn PhysicsWallah is reportedly close to acquiring UPSC coaching giant Drishti IAS for ₹2,500–₹3,000 crore. If it goes through, this could be the biggest edtech deal in recent years. More on this in today’s Big Brew ⬇️

• 🍟 Haldiram’s spicy new investors: After Temasek, Alpha Wave Global and IHC have scooped up a 6% stake in Haldiram’s at a valuation of ₹86,000 crore (~$10B). The snack giant is eyeing expansion in the US and Middle East, banking on rising global demand for Indian food.

• 🛞 Nissan sells Chennai plant to Renault: Nissan is transferring its 51% stake in the Chennai factory to Renault but insists it's not exiting India. The move allows Renault to fully own Renault Nissan Automotive India Pvt Ltd (RNAIPL) and expand production, while Nissan will rely on contract manufacturing.

📈 Market Masala

• 🇮🇳 Sensex and Nifty50 markets shut for Eid: Indian benchmark indexes were closed on Monday (March 31) for Eid-ul-Fitr.

• 📶 Citi sees 76% upside in Vodafone Idea: Citi Research is bullish on VI after the government’s move to hike its stake to 49% by converting spectrum dues into equity. This could help revive VI’s financial health, which is good news for Indus Towers too, one of its major creditors.

• 💔 Bajaj Hindusthan Sugar nears default: Care Ratings downgraded the sugar giant’s rating to 'D', warning of a potential default on ₹276 crore in dues. The company cited failure to convert OCDs into equity and limited cash reserves of just ₹56 crore. The stress threatens SBI-led lenders amid a complex restructuring history.

• 💰 Gold hits record high above $3,100/oz: Investors rushed to gold as a safe haven amid fears of a global trade war. The metal’s up 18% in 2025 so far, setting 15+ record highs. Analysts expect the rally to continue as Trump’s tariff plans take shape this week.

• 🛢️ Adani’s Kutch Copper smelter to start ops soon: The 500,000-tonne plant is nearly ready. Once fully ramped up, it could halve India’s copper imports. An expansion to 1M tonnes is planned post-FY26.

• 🏢 Aditya Birla Real Estate exits paper, sells to ITC for ₹3,498 Cr: ABREL is selling its pulp and paper biz in Uttarakhand to ITC, and plans to sharpen focus on its real estate play. JM Financial and AZB advised on the deal.

🌍 Global Masala

• 📉 Markets end March in red: The S&P 500 closed up 0.55% Monday but still logged its worst monthly performance since December 2022, down 5.8%. Nasdaq sank 8.2% in March, dragged down by tech, while the Dow fell 4.2%. Trump’s looming tariffs kept traders on edge.

• 🚗 Italy plans to raise takeover thresholds: PM Giorgia Meloni’s government may hike the 25% mandatory bid threshold to help companies fend off hostile takeovers. The move, aimed at bolstering Milan’s stock exchange, could impact firms like Telecom Italia where Poste Italiane holds a 24.8% stake.

• ✈️ Air Canada bookings to US drop 10%: Blame it on politics. A growing number of Canadians are skipping US travel amid tensions triggered by Trump’s trade policies and nationalist rhetoric. Instead, Air Canada sees stronger demand for Europe-bound flights.

• 💶 German inflation cools to 2.3%: Lower-than-expected March inflation boosts chances of a rate cut by the ECB. Core inflation dropped to 2.5%, and services inflation eased too. With tariffs on the horizon, economists expect short-term price pressures but potential long-term deflation if growth falters.

• 🏎️ Aston Martin gets turbo boost from billionaire: Lawrence Stroll’s Yew Tree Consortium will pump £52.5M more into Aston Martin, upping his stake to 33%. The carmaker will also sell a stake in its F1 team to raise another £74M, as it tries to bounce back from recent losses.

☕️ The Big Brew: PhysicsWallah Eyes Biggest Edtech Buyout Ever

Move over, Unacademy — this could be India’s biggest edtech shake-up yet.

💥 What’s happening?
Alakh Pandey’s PhysicsWallah is reportedly in final talks to acquire Dr Vikas Divyakirti’s Drishti IAS for ₹2,500–₹3,000 crore. If sealed, it would be India’s largest edtech acquisition in years.

• 💼 Why does this matter?

  • 📍 Drishti IAS is a UPSC prep powerhouse — its Mukherjee Nagar centre alone brings in 58% of ₹405 Cr revenue.

  • 💰 Drishti clocked a ₹90 Cr profit in FY24.

  • 🎓 PhysicsWallah, once a humble YouTube channel, earned ₹1,940 Cr in revenue this year, though losses hit ₹1,131 Cr.

  • 📈 PhysicsWallah is also prepping for a $500M IPO at a $5B valuation — and this acquisition could seriously impress investors.

• 🧠 But here’s the twist... Drishti’s CEO says, “No deal signed. Yet.” Is it a done deal or just a strategic flirtation? Stay tuned.

  • 👉 What does this mean? If the deal goes through, PhysicsWallah will:

  • 🧾 Instantly dominate both online and offline UPSC prep

  • 📚 Offer bundled coaching services

  • 🚀 Deepen its reach and build a stronger moat against Unacademy & BYJU’S

🚀 Startup Scoop

• 🚗 Spinny raises $131M at flat valuation: Used-car unicorn Spinny has secured $131M in fresh funding led by Accel Leaders Fund, holding onto its $1.7–$1.8B valuation. The company’s FY24 revenue hit ₹3,725 crore, and losses narrowed to ₹590 crore. Funds will fuel its NBFC and lending expansion.

• 💌 Hood rebrands to Knot.dating: The anonymous social media app, which gained fame on Shark Tank, has now pivoted to an AI-powered matchmaking platform for India’s top 1% earners. Exclusive and invite-only, Knot.dating promises privacy and curated companionship for elite professionals.

• 📦 Shadowfax readies for ₹3,000 Cr IPO: The logistics firm has transitioned to a public company and is prepping for a ₹2,500–₹3,000 crore IPO. With a 33% revenue jump to ₹1,884 crore and profitability achieved in FY24, Shadowfax has enlisted JM Financial and Morgan Stanley as lead bankers.

• 🧠 Hakimo raises $10.5M for AI security agent: This Stanford-founded startup is launching an autonomous AI security guard that integrates with cameras and badge readers to detect threats and respond — human intervention optional.

🔮 What’s Brewing Next

• ⚠️ Trump Tariffs Drop Wednesday: April 2 is “Liberation Day” as Trump’s 25% import tariffs on autos go live — with more on the way.

🧠 Chai Break Trivia

Did you know the longest Test match in cricket history lasted a mind-bending 10 days? 🏏 

Played in 1939 between England and South Africa, this “Timeless Test” in Durban went on for 680 overs… only to end in a draw because the English team had to catch their boat home! Yep, no flight cancellations back then — just innings and ocean liners.

👋 That’s a wrap!

Thanks for sipping on today’s Masala Chai with us. If your week started slow, we hope this news blast perked it up. Got feedback or a story tip? Just hit reply. See you tomorrow with more chai, charts, and chatter!