Rui Brandão Sees Opportunity In Brazil’s Mental Health Evolution

As Brazil advances its regulatory environment to encourage corporate practices that foster mental health, Rui Brandão, founder of healthtech Zenklub, sees opportunities ahead for providing integrated mental and physical healthcare—supporting both individual wellbeing and the financial health of organizations.

Originally focused solely on mental health services, Zenklub merged with Conexa, a larger digital health company, a year ago to become a more integrated platform for both mental and physical health. With expanded capabilities and reach—and major investors such as Goldman Sachs and General Atlantic—the combined entity now serves over 40 million unique beneficiaries and processes more than 6 million consultations per year, the majority of which are in the mental health domain.

The post-merger expansion has resulted in a boost for the company. In 2024, Conexa/Zenklub saw a 70% increase in corporate clients compared to 2023 and in the last quarter of the year, the startup also reached over 260 million reais (USD 45.7 million) in annual recurring revenue, with approximately 60% stemming from mental health services. The firm reached break-even point last year and aims for a 50% revenue increase in 2025.

According to Brandão, Brazil’s regulatory changes will help prioritize investments in mental health, as discourse and dialogue around the topic have become more prominent, especially after the pandemic. “Each year, the industry is becoming more mature, with a more structured approach to addressing mental health issues,” the founder told Forbes.

A trained physician, Brandão founded Zenklub in 2016 after witnessing his own mother’s struggles with mental health, initially offering online therapy for individuals then broadening out into areas such as strategic data intelligence for risk assessments, and specialized programs for maternity leave return and harassment prevention. Today, 85% of registered patients come from agreements with more than 2,000 corporate clients, including meat producer Marfrig and airline Azul.

Brazil’s regulatory changes in mental health

Brazil has some of the worst mental health indicators in Latin America. A survey by the Pan American Health Organization suggests it is the most affected country in the region by depression, with 5.8% of Brazilians impacted and 9.3% suffering from anxiety. According to the National Social Security Service, anxiety is the third leading cause of prolonged work absences due to illness in Brazil.

In response, the Brazilian government has introduced legislative changes, establishing clearer guidelines on the link between emotional wellbeing and a healthy work environment. At the end of 2023, the Ministry of Health added burnout to its list of work-related conditions. Additionally, Brazilian companies will also have implement comprehensive mental health management plans under the new NR-1 regulation, with mandatory risk assessment documentation and prevention measures. Non-compliance with the rules, effective May 2025, will result in penalties ranging from fines to business closure.

Commenting on how Zenklub’s strategy aligns with this evolving landscape, Brandão said the goal is to bring mental health services closer to the workplace. The company aims to integrate mental health support into the employee experience by providing access to therapy and counseling while also leveraging data and analytics to tailor interventions to the specific needs of each organization and its workforce.

“Having a holistic view of health—where both physical and mental wellbeing are considered—is crucial, and that’s what we are focusing on,” Brandão noted. A key differentiator for Zenklub, he added, is the integration of psychiatrists alongside psychologists in its services.

“The typical wait time to see a psychiatrist can be quite long, which is not suitable for individuals experiencing a mental health crisis,” Brandão said, emphasizing that many patients may require not just therapy, but also medication.

By having psychiatrists available within its network, Zenklub claims to offer clients next-day appointments. According to Brandão, this approach enables more accurate diagnoses and better treatment outcomes compared to solutions focused solely on therapy, ultimately reducing the number of mental health-related work absences.

Opportunities in Brazil’s mental health industry

Further integrating physical and mental health remains one of Brandão’s key goals for 2025, along with expanding access to Zenklub’s services. “Making mental health support more widely available to Brazilians is a key objective for us,” he said.

“We also want to help companies embed mental health as a strategic pillar rather than just a compliance requirement by providing data-driven insights and recommendations,” he added.

Discussing key trends shaping the mental health industry that inform Zenklub’s strategy, Brandão highlighted the need to alleviate the burden on healthcare professionals. “[Medical professionals] are often overburdened with administrative tasks, and leveraging technology to streamline processes and improve the quality of care is as urgent as it is a major opportunity,” he noted.

Additionally, Brandão emphasized the importance of reducing inefficiencies in the healthcare system. “This can be achieved through better collaboration, data-driven decision-making, and a focus on achieving desired clinical outcomes while ensuring financial sustainability,” he said.

Comparing Brazil’s healthcare market to more mature markets, the Portugal-born entrepreneur pointed out key differences. “The US market, for instance, is more transactional and competitive, where standing out significantly is essential for success. In contrast, the Brazilian market has fewer risk-takers and innovators, leaving a large underserved population—and that is a significant opportunity,” he explained.

Moreover, he noted that healthcare in Brazil is largely paid for out-of-pocket, unlike the more publicly funded systems in Europe, which facilitates innovation. “Brazil is a vast country with immense challenges—but also enormous potential for entrepreneurship in healthcare,” he concluded.