(Adds second source, no immediate company response, context)
By Carolina Mandl
SAO PAULO, Sept 25 (Reuters) - Brazilian learning systems company Arco Platform raised around $220 million in an initial public offering on Tuesday, two sources with knowledge of the matter said, overcoming political risks to list ahead of the country’s presidential election.
Arco priced its shares at $17.50, the top of its price range of $15.50 to $17.50, and the issue was more than 10 times oversubscribed, according to the sources.
Arco issued only new shares in the offering, and all proceeds will go to the company, the sources said.
The shares will debut on Nasdaq on Wednesday.
Arco did not immediately respond to requests for comment.
The for-profit education company was founded in 2004 and sells learning systems to 1,140 Brazilian private schools with more than 400,000 students.
Arco posted net income of 54.3 million reais ($13.32 million) in the first six months of 2018 and net revenue of 195.1 million reais.
Although it is a learning systems company, Arco has marketed itself more as a technology company because it delivers part of its educational systems through digital platforms.
Investment firm General Atlantic LLC has a 26 percent stake in the company, which also has among its shareholders Arco’s founding family, Sá Cavalcante.
The offering was led by Goldman Sachs, Morgan Stanley, Itau BBA and Bank of America Merrill Lynch.
Arco is the second Brazilian company to list its share in the United States this year. In February, credit card processing firm PagSeguro Digital Ltd listed on the New York Stock Exchange.
$1 = 4.0751 reais Reporting by Carolina Mandl Editing by Leslie Adler