Gafisa S.A. Announces Pricing of Common Shares Offering

SAO PAULO, March 24 /PRNewswire-FirstCall/ -- Gafisa S.A. (the "Company") (NYSE: GFA; Bovespa: GFSA3) announces that its global offering of 74,000,000 common shares, including common shares in the form of American Depositary Shares ("ADSs"), has priced on March 23, 2010. The offering of common shares in Brazil has been registered with the Comissao de Valores Mobiliarios (CVM), the Brazilian securities commission.  The Company has granted the international and Brazilian underwriters a 30-day option to purchase up to 11,100,000 additional common shares, including common shares in the form of ADSs.

The ADSs were offered to the public at a price of US$14.03 per ADS (each of which represents two common shares), and the common shares were offered to the public at a price of R$12.50 per common share.

The Company intends to use the net proceeds from the global offering to acquire new land and for strategic joint ventures and acquisitions, working capital and new developments.

Itau USA Securities Inc., J.P. Morgan Securities Inc., Banco Votorantim S.A., Nassau Branch and UBS Securities LLC are acting as joint book-running managers, representatives and international underwriters of the international offering.

A final prospectus supplement and accompanying prospectus related to the offering will be filed with the Securities and Exchange Commission and will be available on the SEC's website at www.sec.gov. When available, copies of the final prospectus supplement and accompanying prospectus for this offering can be obtained without charge by directing a request to Itau USA Securities Inc. at 540 Madison, 23rd Floor, New York, NY 10022, Attention: Prospectus Department. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The offering of these securities will be made only by means of the prospectus supplement and accompanying prospectus. A registration statement relating to the securities has been filed with, and declared effective by, the SEC.

Forward-Looking Statements

This press release contains forward-looking statements relating to the prospects of the business, estimates for operating and financial results, and those related to growth prospects of Gafisa. These are merely projections and, as such, are based exclusively on the expectations of management concerning the future of the business and its continued access to capital to fund the Company's business plan. Such forward-looking statements depend, substantially, on changes in market conditions, government regulations, competitive pressures, the performance of the Brazilian economy and the industry, among other factors; therefore, they are subject to change without prior notice.

SOURCE Gafisa S.A.

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