Yduqs and Afya announce merger to lead Brazilian education market

Yduqs and Afya have announced a merger agreement to create a leading education company in the Brazilian market, specifically focusing on medical and health sciences training. The combined entity will hold a market value of approximately R$ 9.3 billion, more than double that of current market leader Cogna Educação.

Bertelsmann is set to become the primary shareholder with a 47.3% stake in the new company. The combined group expects to serve 926,000 students and provide 5,900 annual medical school vacancies. The companies project synergies between R$ 2 billion and R$ 2.2 billion through cost reductions, investment gains, and tax efficiencies.

Following the announcement, Yduqs shares rose 2.95% on the B3, while Afya shares advanced 1.10% on the Nasdaq. The transaction remains subject to approval from regulatory bodies, including the Administrative Council for Economic Defense (Cade).