Procter & Gamble (P&G) has completed its exit from the Argentine market after finalizing an agreement with Newsan, an Argentine home appliance company. Newsan, which is led by Rubén Cherñajovsky, will control the plant it has in San Luis and a portfolio of leading brands that includes Gillette, Pampers, Always and Pantene.
"This exclusive licensing and distribution agreement also involves the purchase of 100% of the stock package of P&G Argentina, and includes the acquisition of the Villa Mercedes plant – where diapers and feminine wipes will continue to be produced under the license of the Pampers and Always brands – and the headquarters (located in Munro). Likewise, Newsan will maintain the continuity of work for all employees and will continue with the commercial operation in Argentina of current businesses and future developments," the companies explained in a statement."
The deal signials the definitive exit of Procter & Gamble from Argentina, where it began manufacturing products in the 1990s and quickly became one of the leading players in different categories of the cosmetics and toiletries sectors. Since its start of operations in the country, in 1991, the multinational has invested more than US$700 million in the Argentine market, including the purchase of Prosan, a local diaper manufacturer.
Newsan leads the electronics market and operates even plants – most of them located in Tierra del Fuego, under the tax promotion regime that the province has – and brands such as Noblex, Atma, Philco, Siam.
