In 1869, Gerdau emigrated to southern Brazil to find new business opportunities.

He arrived at the port of Rio Grande, Rio Grande do Sul aged 20, and established himself in Colônia de Santo Ângelo (now the town of Agudo), where he invested in trade, transport and the subdivision of land.

He moved to the town of Cachoeira do Sul in 1884, where he founded a General Store.

In 1901, he bought a nail factory in Porto Alegre and founded Gerdau.

[1] His son, Hugo Gerdau, inherited the business, and in turn, passed it to his son-in-law Curt Johannpeter in 1946.