Edenred SA (EU:EDEN) shares fell 9% on Wednesday after Brazil approved sweeping new regulations for its meal voucher industry, a move expected to reduce the company’s 2026 earnings by as much as €200 million.
The decree, signed late Tuesday by the Brazilian government, introduces the country’s first comprehensive regulatory framework for the Workers’ Food Program (PAT), which oversees the nation’s BRL150 billion meal and food voucher market.
Under the new rules, the total merchant discount rate is capped at 3.6%, including a 2% ceiling on interchange fees. Voucher payments must now be settled with restaurants and retailers within 15 days, compared with roughly 30 days previously. The regulation also mandates full interoperability between voucher networks within 360 days, ensuring that any certified card can be accepted across all authorized payment terminals.
Additionally, the decree bans exclusivity agreements, rebates, and indirect incentives between employers and issuers, while restricting closed-loop systems—those operating on proprietary networks—to companies serving fewer than 500,000 workers. The government said the goal is to bring transparency and uniformity to what had been a fragmented market.
Kepler Cheuvreux warned that the changes could significantly impact Brazil’s main voucher issuers, including Edenred, Pluxee, and Alelo. “According to the decree, Brazilian issuers (Edenred, Pluxee, Alelo) barrier to entry (proprietary, closed acceptance networks) will erode as interoperability becomes mandatory and new entrants gain access to existing merchant infrastructure,” the brokerage said.
It added that the 3.6% fee cap and shorter settlement cycle “will compress margins,” while the faster transfer period “reduces the financial float that historically generated additional income.”
Edenred, the Paris-based employee benefits and payments firm, said that if the decree is implemented as currently written, it expects a 10% to 16% negative impact on 2026 EBITDA growth, equivalent to €150 million to €200 million. As a result, the company cut its 2026 organic EBITDA guidance to between negative 8% and negative 12%, down from its prior estimate of positive 2% to 4%.
Brazil’s meal voucher operations account for roughly 9% of Edenred’s total revenue. The company’s market capitalization stood at €5.1 billion, with shares closing at €21.19 on November 11—down 33.3% year-to-date. Kepler Cheuvreux maintained its “buy” rating on the stock, with a target price of €40.
For rival Pluxee, the brokerage estimated the earnings impact at €120 million to €150 million, or about 20% to 25% of group EBITDA. The firm generated €372 million in revenue in Brazil over the past 12 months, representing 29% of its total.
Kepler Cheuvreux concluded that the new regulations convert “a previously fragmented, closed ecosystem into a regulated, semi-open network designed to lower merchant costs, foster competition, and ensure that voucher benefits are used strictly for food purchases.”
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