Abril Rises to a Record High on English-Language School Purchase
Abril Educacao SA, the education arm of Brazil’s Grupo Abril, climbed to a record after acquiring English-language school Wise Up for 877 million reais ($444.9 million).
Shares increased 1.4 percent to 47.63 reais at 3:55 p.m. in Sao Paulo, extending a two-day advance to 4.1 percent. A close at that level would be the highest since it started trading in July 2011. The benchmark Bovespa index slid 0.2 percent.
Abril Educacao, based in Sao Paulo, is stepping up acquisitions of schools that teach English as only about 3 percent of Brazilians can speak the language, compared with at least 10 percent in Mexico and developing economies in Asia, Chief Executive Officer Manoel Amorim said in September.
Takeovers may help the company boost revenue from language schools and education services, the most profitable divisions, to 50 percent of sales from 20 percent, he said.
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