In the current study, microstructural evolution and superplasticity of an extruded Mg-2wt% Gd sheet were studied after the constrained groove pressing (CGP) process. Microstructural observations by scanning electron microscopy and electron backscattered diffraction revealed that after 4 cycles of CGP, a rather homogeneous fine-grained microstructure with an average grain size of 4.3 mu m, and a large fraction of high angle grain boundaries was obtained. By performing shear punch tests (SPT) at different temperatures and various shear strain rates, a peak strain rate sensitivity index (m-value) of 0.49 was obtained after 4 cycles of CGP process at 673 K, while peak m-values of 0.31 and 0.36 were obtained for the as-extruded and 2 cycle CGP process conditions, respectively. An m-value of 0.49 and an activation energy of 113 kJ/mol, obtained for the fine-grained material after 4 cycles of CGP, suggest that the dominant deformation mechanism in the superplastic regime is grain boundary sliding (GBS) controlled by grain boundary diffusion.