Shares in Brazilian wood panel manufacturer Duratex SA were up 3% in early afternoon trading in Sao Paulo after the announcement of a deal to buy ceramic tile maker Cecrisa for 539 million reais ($132.6 million).
Duratex, controlled by Itausa Investimentos SA, will pay half of the price in cash immediately, and the rest after completion of certain undisclosed conditions. Brazil's antitrust watchdog CADE still has to approve the deal, Duratex said.
Cecrisa owns three plants, has 1,700 employees, and had a net revenue of 652 million reais last year. Shareholders in Cecrisa, which is private and was controlled by investment firm Vinci Partners, were advised by Pantalica Partners and law firm Machado Meyer. Duratex was advised by law firm Lobo de Rizzo.
($1 = 4.0652 reais)