Arco Platform Limited, or Arco (Nasdaq: ARCE), today announced that it has acquired Me Salva!, an online Brazilian EdTech solution that prepares students to be admitted to the best universities in the country

“We are excited to add Me Salva! to our portfolio and with the opportunities ahead on test prep and tutoring. This acquisition enables Arco to start providing a high quality solution at affordable prices to students that attend public schools, a segment that historically faces a large opportunity gap to the private sector in Brazil. Additionally, we are thrilled that such an inspiring founder has decided to be part of our company. Together with a highly talented, entrepreneurial team, Miguel has created from scratch a disruptive solution that offers engaging content, empowers students and improves their chances of being admitted to the best universities in the country,” said Ari de Sá Neto, CEO and founder of Arco.

Brazilian EdTech firm Me Salva! was founded in 2011 by Miguel Andorffy with the mission of helping students to improve their ENEM scores and to be admitted to the best universities in the country. The online solution offers recorded and live video classes, comprehensive exercises, essay writing tools, assessment tests, 1-on-1 tutoring and personalized study plans. Over 900 thousand students have used Me Salva! in 2020, and the company has grown its revenues by 36% per year between 2016 and 2020.

“Me Salva!’s team and I are thrilled to be joining Arco. We have helped thousands of students to access higher education and believe that, with this partnership, we will be able to scale our solution and help many more students to achieve their dreams,” said Miguel Andorffy, CEO and founder of Me Salva!

This transaction expands Arco’s supplemental solutions portfolio to test prep and tutoring, a vertical with an estimated addressable market of R$5 billion and favorable growth prospects. The deal rationale relies on accelerating Me Salva!’s growth by leveraging Arco’s resources, and strengthening Arco’s B2B2C winning factors with new digital capabilities.