Dexco to Sell Urussanga Ceramics Plant for US$34 Million
Brazilian Building Materials
Key Facts
—The deal. Dexco agreed to sell its Urussanga plant to Ceramica Carmelo Fior for R$170 million (about US$33.5 million).
—Approval pending. The transaction still requires clearance from CADE, Brazil’s antitrust authority.
—Historic brand. The site is the home of the Ceusa ceramic tile brand, founded in Urussanga in 1953.
—Earlier shutdown. Dexco halted operations at the plant in May 2026, leading to 159 layoffs.
—Strategic shift. The company is concentrating tile production in Criciúma and Botucatu while prioritising wood panels and sanitaryware.
Dexco has agreed to sell its historic Urussanga ceramics plant in Santa Catarina to Ceramica Carmelo Fior for R$170 million (about US$33.5 million), a move that sharpens the company’s focus on its most profitable divisions while recycling capital.
The Dexco Urussanga sale in detail
Dexco, controlled by the holding company Itausa and listed on Brazil’s B3 exchange under ticker DXCO3, disclosed the agreement in a material fact filing on Monday 3 August 2026.
The purchase-and-sale contract covers the land and part of the equipment at the Urussanga site.
Payment is expected within 2026, though the deal remains subject to approval by CADE, Brazil’s antitrust authority.
A historic brand changes hands
The Urussanga plant is the birthplace of the Ceusa brand, founded as Cerâmica Urussanga S.A. in 1953.
Ceusa built a reputation over seven decades as a recognised name in Brazilian ceramic tiles, deeply tied to the Santa Catarina region.
Dexco’s other tile brand, Portinari, operates from a separate facility in nearby Criciúma, roughly 20 kilometres away.
Why Dexco is pruning its ceramics business
The sale is not a sudden move but the final step in a planned exit from the Urussanga site.
Dexco announced the halt of operations at the plant in late May 2026, a decision that resulted in 159 layoffs from a workforce of 213.
About 30 workers were kept on temporarily to sell remaining stock, while roughly 24 were offered transfers to the Portinari unit in Criciúma.
The company is now concentrating its ceramic tile production at two larger, more efficient sites: Criciúma in Santa Catarina and Botucatu in São Paulo.
Behind this consolidation lies a clear strategic pivot: Dexco wants to channel resources into its higher-margin wood-panels business, the legacy of its Duratex roots, and its Deca sanitaryware line.
The company is also working to reduce leverage, targeting a net debt-to-EBITDA ratio of roughly 2.5 to 2.7 times by the close of 2026.
Who is buying and what happens next
The buyer, Ceramica Carmelo Fior, is itself a ceramics producer, making this a transaction between industry players who understand the asset.
For Carmelo Fior, acquiring an established plant with existing infrastructure offers a faster path to expanding production than building from scratch.
The deal must still pass through CADE’s review, a standard step in Brazilian mergers and acquisitions that ensures no undue market concentration.
Dexco stated in its filing that the financial effects are non-recurring and will not have a material impact on its overall results.
The broader picture for Brazilian building materials
Dexco’s move fits a wider pattern across Brazil’s building-materials sector, where companies are consolidating production into fewer, more modern plants.
The backdrop is one of mixed demand: construction activity has shown pockets of strength, but a high-interest-rate environment has cooled the residential market.
For investors, the transaction reads as sensible capital recycling: shedding a non-core asset to strengthen the balance sheet and double down on divisions with better returns.
It also signals that Dexco’s management is willing to make hard decisions about legacy operations to hit its deleveraging targets.
What expats and global investors should watch
The sale is a small piece of a larger story about how Brazilian industrial companies are adapting to a tougher financing environment.
For those with exposure to Dexco or Itausa, the key metric to track is whether the company hits its 2.5 to 2.7 times net debt-to-EBITDA target by year-end.
The CADE review timeline will also matter: a swift approval would allow the transaction to close and the proceeds to land within 2026 as planned.
More broadly, the deal offers a real-world example of how Brazil’s listed building-materials firms are navigating mixed demand: not by chasing volume at any cost, but by getting leaner and more focused.
Frequently Asked Questions
What is Dexco selling and to whom?
Dexco has agreed to sell its Urussanga ceramics plant in Santa Catarina to Ceramica Carmelo Fior for R$170 million (about US$33.5 million). The contract covers the land and part of the equipment. The deal is pending approval from Brazil’s antitrust authority, CADE.
Why did Dexco shut down the Urussanga plant before selling it?
Dexco halted operations at the Urussanga plant in May 2026 as part of a strategy to consolidate ceramic tile production at its Criciúma and Botucatu facilities. The shutdown led to 159 layoffs, with about 30 workers retained temporarily to sell remaining stock and 24 offered transfers to the nearby Portinari unit.
What does this sale mean for Dexco’s strategy?
The sale is part of Dexco’s plan to focus on its more profitable wood-panels and Deca sanitaryware divisions while reducing debt. The company is targeting a net debt-to-EBITDA ratio of roughly 2.5 to 2.7 times by the end of 2026. The transaction itself is non-recurring and not expected to materially affect Dexco’s results.
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