Equity International buys 5% of Brazilian property builder
US company Equity International has bought a stake in Brazilian property builder Construtora Tenda, acquiring around 20 million shares in the firm.
Equity now owns approximately five percent of the Brazilian company, which is head-quartered in Sao Paulo and focuses on the fastest-growing metropolitan regions in Brazil, operating in 64 cities across the country.
It is the fifth portfolio investment in Brazil that the real estate enterprise has made.
"Equity International is excited about the affordable homebuilding sector in Brazil as significant unmet demand, magnified by household formation, creates an extraordinary growth opportunity," says Gary Garrabant, chief executive of the firm.
Carlos Trostli, head of Tenda, says his company will benefit "greatly" from Equity’s experience and expressed his pride that the firm was chosen for the investment.
Last month, Brazilian president Luiz Inacio Lula da Silva announced plans to build one million new homes by 2010 as part of a project to boost the country’s economy.
