HOMEX DEVELOPMENT CORP (HXM) 26.45 $0.37 (1.42%) 10:51PM (15 mins delay)

CULIACAN, Mexico, Nov. 20, 2009 (PRNewswire-FirstCall) -- At an extraordinary shareholders' meeting of Desarrolladora Homex, S.A.B. de C.V. ("Homex" or "the Company") (NYSE: HXM, BMV: HOMEX) yesterday, shareholders voted to approve a plan for a capital increase in the range of 5 to 6 percent of the Company's current capital to be subscribed through a potential follow-on offering. The plan may be implemented by the Board at any time for a period of eleven months, through October 2010.

"We took this step as a proactive measure to be prepared for future growth opportunities for the Company and we will continue to pursue a conservative investment strategy to preserve cash, while maintaining our focus on improving Homex's working capital cycle. Receiving shareholder approval for a possible capital increase through a follow-on offering in Mexico gives us an alternative which we could use if required to pursue strategic investments, at the same time that our recently filed F-3 provides a similar option to raise capital in the United States market," commented Eustaquio de Nicolas, Chairman of Homex Board.

About Homex

Desarrolladora Homex, S.A.B. de C.V. (NYSE: HXM, BMV: HOMEX) is a leading vertically integrated home development company focused on affordable entry- level and middle-income housing in Mexico. It is one of the most geographically diverse homebuilders in the country. Homex has a leading position in the top four markets in Mexico and is the largest home builder in Mexico, based on revenues, number of homes sold and net income.

For additional corporate information, please visit the Company's web site at: www.homex.com.mx

    INVESTOR CONTACTS
investor.relations@homex.com.mx
Vania Fueyo
Investor Relations Officer
+5266-7759-5838
vfueyo@homex.com.mx

SOURCE Desarrolladora Homex, S.A.B. de C.V.