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In the engineering and medical entrance examinations coaching institutes of India, the biggest engineering institute, Kota-based Allen Career Institute, is considering an initial public offering (IPO) listing on the Indian bourses, as reported by Bloomberg and Economic Times.

Established in 1988, it has started talking with investment banks and is likely to have advisors formalized in the near future to allow a potential Mumbai listing. Consultations are still in progress, and the strategies might alter.

In 2022, the company underwent a significant boost when Bodhi Tree Systems, a platform to invest in created by James Murdoch and former Disney executive Uday Shankar, purchased a 36% stake in Allen Career Institute, valuing the company at nearly $1.2 billion at that time.

The shift follows the achievement of expansion and acquisition of more than 100 new campuses in India as Allen seeks to expand beyond its Kota stronghold and build a greater digital learning vertical (Allen Digital) to compete in the rapidly changing test-prep business.

An effective IPO would be among the largest initial offerings to the public by the Indian education and coaching industry. It would enable Allen to secure new capital to further expand it and offer an escape path to its investors. Neither the timeline nor the size of the issue has been proven yet.