Abril Rises to Record After English-Language School PurchaseDenyse Godoy
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 2.2 percent to 48 reais at the close of trading in Sao Paulo, extending a two-day advance to 4.9 percent. That’s the highest price since it started trading in July 2011. The benchmark Bovespa index rose 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.