Natura Finalizes Sale of Avon Operations in Central America for $1
Natura has sold its Avon business in Central America for $1, marking a strategic shift in focus following recent losses.
Key Points
- • Natura sells Avon operations in Central America for $1
- • Transaction includes countries like Mexico and Guatemala
- • Part of Natura's strategy to refocus on core markets
- • Company aims to improve profitability post-sale
Natura & Co has officially entered into a binding agreement to sell its Avon business operations in Central America for a nominal price of $1. This unexpected transaction highlights the ongoing strategic realignment within Natura, especially after facing challenges in the region. The deal encompasses operations across countries including Mexico and Guatemala, among others. The Brazilian cosmetics and personal care giant announced on September 15, 2025, that the sale aims to help the company focus on its core markets and strengthen profitability.
The purchase agreement, while financially minimal at $1, indicates significant underlying shifts for both Natura and Avon. The deal is seen as part of Natura’s broader strategy to streamline its operations in accordance with its financial restructuring efforts after reporting a substantial net loss in recent quarters. This divestiture follows a trend among many companies seeking to clarify their operational focus and increase efficiency in challenging markets.
Natura's decision to divest these operations comes amid increasing competition and market pressures impacting beauty and personal care sectors across Latin America. According to company statements, this strategic move will allow Natura to concentrate its resources on more profitable areas and expand within its more successful operations.
A representative from Natura remarked, "This sale will help us redirect our investments towards our strategic priorities, thus enhancing overall profitability and market focus." As the transaction unfolds, stakeholders will be keen to see how this move will influence Natura's long-term strategic direction and operational effectiveness in its remaining markets.
The sale reflects a significant shift in Natura’s approach to its international operations and is anticipated to generate discussions regarding future investments in other regions.