EI's Fund IV Acquires 19,465,600 shares SAO PAULO, March 19 /PRNewswire-FirstCall/ -- Gafisa S.A. (NYSE: GFA; Bovespa: GFSA3), one of Brazil's leading diversified national homebuilders, today announced that Equity International ("EI"), the privately held investment company co-founded by Sam Zell and Gary Garrabrant, recently acquired 19,465,600 shares in Gafisa's subsidiary, Tenda S.A. (Bovespa: TEND3), representing an approximate 5% ownership stake. Gafisa currently owns 60% of the total capital and voting shares of Tenda. Equity International, which is focused on high growth real estate businesses outside of the U.S., is Gafisa's largest shareholder with 18.7% of the outstanding shares. The firm has two directors on Gafisa's board, which is chaired by EI's Chief Executive Officer Gary Garrabrant. In addition, Mr. Garrabrant also serves as a member of Gafisa's investment committee. Tenda is a national homebuilder focused exclusively on the affordable/entry-level market. The Company employs its own sales force, which is specifically trained to work with its target customers in the largest metropolitan real estate markets in Brazil, and is focused primarily on areas of the country that have the highest housing deficits. Wilson Amaral, Chief Executive Officer of Gafisa, said: "We are very pleased that Equity International, a strategic shareholder in Gafisa, has decided to acquire a stake in Tenda. Last year Gafisa made a strategic move to strengthen its position in the lower income segment of the market in Brazil through Tenda. Now, Equity International has strengthened its position as well through a direct investment in Tenda." "Equity International is excited about the affordable homebuilding sector in Brazil being a significant unmet demand, magnified by household formation, creating an extraordinary growth opportunity," said Gary Garrabrant, Chief Executive Officer of Equity International. "This transaction distinguishes Tenda as an Equity International portfolio company and we look forward to working directly with the Tenda management team to capitalize on this opportunity." The 5% acquisition of Tenda was through EI's Fund IV, formed in January 2008. Fund IV represents the fourth in a series of investment funds created by Equity International since its inception. Through these funds, Equity International has raised roughly U.S. $1.5 billion and invested in 18 portfolio companies including leading homebuilders in Mexico (Homex) and Brazil (Gafisa, NYSE: GFA; Bovespa: GFSA3; and Tenda Bovespa: TEND3), as well as several leading homebuilders in China and Egypt. About Gafisa Gafisa is one of Brazil's leading homebuilding companies. Over the last 50 years, the Company has completed and sold more than 950 developments and built over 10 million square meters, believed to be more than any other residential developer in Brazil. Gafisa is one of the most recognized brands in the real estate development market, enjoying a reputation among potential homebuyers, brokers, lenders, landowners and competitors for quality, consistency and professionalism. For additional information: Investor Relations Julia Freitas Forbes Phone: +55 11 3025-9242 Email: Website: http://www.gafisa.com.br/ir Media Relations Patricia Queiroz Maquina da Noticia Phone: +55 11 3147-7409 E-mail: DATASOURCE: Gafisa S.A. CONTACT: Investors, Julia Freitas Forbes, Gafisa, +011-55-11-3025-9242, ; or Media, Patricia Queiroz, Maquina da Noticia, +011-55-11-3147-7409, , for Gafisa Web site: http://www.gafisa.com.br/ir

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