Afya

Track record combines disciplined M&A for seats (e.g., UNIDOM in 2024, FUNIC in 2025) at attractive guided multiples, organic seat expansions, and internal reinvestment in content and digital tools. Afya repurchased shares in 1Q26 and returned cash via dividends (R$307m on FY25).

While acquisitions add execution risk and contingent payments, integration synergies and seat ramp histories are generally favorable. Capex of ~R$364m in 2025 supports growth rather than heavy maintenance. We note scrutiny of campus quality outcomes (ENAMED) increases the importance of reinvestment in academic quality.