The finanacial terms of the contract were not disclosed.

Bleach maker Clorox said Thursday it would sell its operations in Argentina, Uruguay and Paraguay to private equity fund Apex Capital, seeking to improve the profitability of their portfolio. The operation means a one-time charge of about $233 million.

The company's decision comes at a time when rising prices are affecting demand for consumer goods. The after-tax charge will be registered in the third quarter of fiscal year 2024, which will reduce earnings per share in the quarter by about US$1.87.

The financial terms of the contract were not disclosed.

In February, Clorox Argentina accounted for about 2% of the company's net sales guidance for fiscal year 2024, and its sale could reduce annual net sales growth target by about half a point and adjusted earnings per share by up to 2 cents, the company reported.

Shares of the Pine-Sol maker were down slightly in early trading.

In February, Clorox had raised its annual targets following a quick recovery from a cybersecurity incident that briefly removed its products from shelves in September 2023.

In December, consumer goods giant Procter & Gamble said it would restructure its operations in Argentina and Nigeria to address difficult macroeconomic conditions in those regions amid a strong dollar.