Afya and Yduqs Announce Merger to Combine Brazilian Education Platforms

Afya and Yduqs Participações have reached an agreement to merge their operations, bringing together two Brazilian higher education platforms. Under the proposed transaction, Afya shareholders will hold a 69% stake in the combined company, while Yduqs shareholders will retain the remaining 31%.

Afya and Yduqs Agree to Combine Their Education Businesses

The merger will unite two companies operating in different segments of Brazil's higher education market.

Afya specializes in medical education, offering undergraduate programs for students pursuing medical degrees and continuing education opportunities for healthcare professionals already working in the field.

Yduqs Participações operates as an educational technology and services group, managing a diversified portfolio of educational institutions.

Through the proposed transaction, both businesses will become part of a single corporate structure, combining their respective education platforms.

Yduqs to Become the Holding Company of the Combined Group

According to the agreement, Afya will merge into Yduqs, which will remain the surviving legal entity following the transaction.

Yduqs will also serve as the holding company for the newly combined education group.

As part of the merger, Afya's existing Class A and Class B common shares will be canceled. In exchange, shareholders will receive the right to obtain newly issued common shares in the combined company.

This arrangement will establish a new ownership structure reflecting the terms agreed upon by both companies.

Afya Shareholders to Control 69% of the Combined Company

Once the transaction is completed, Afya shareholders will own 69% of the combined company, giving them the majority ownership stake.

Meanwhile, existing Yduqs shareholders will hold the remaining 31%.

Although Yduqs will continue as the surviving entity and holding company, Afya's shareholders will represent the majority of the combined group's ownership.

Merger Remains Subject to Shareholder and Antitrust Approval

The agreement has not yet been finalized, as the transaction must satisfy several closing conditions.

Among the requirements are approvals from the shareholders of both companies and the relevant antitrust authorities.

Completion of the merger will depend on these conditions being met.

If approved, the transaction will bring Afya's medical education business and Yduqs' broader educational technology and services operations under one holding company, with the agreed 69%-31% shareholder ownership structure.