Under President Javier Milei’s administration, a minimum of 16 multinational corporations have exited Argentina to date. The sectors exhibit variability; however, they are predominantly influenced by issues such as insufficient legal security, profitability challenges, complications in dividend collection, and the regional strategies employed by firms. A comprehensive array of structural factors has hindered the official slogan, which aims to enhance conditions to attract investment into the country. The sectors most impacted include mass consumption, energy, telecommunications, and banking. The decisions to divest often involve protracted processes, typically ranging from six months to two years. In numerous instances, these initiatives were initiated prior to the governmental transition, yet they reached completion under the present administration. Numerous factors contribute to this phenomenon, with instability being the most frequently referenced. “Argentina has a long history of contract breaches spanning three decades. Most groups are undergoing a process of regional reconversion, and when assessing Latin American countries, Argentina is often the first to be abandoned due to the significant challenges they have faced there,” according to Dante Sica.
Sica stated that “many companies did not leave before due to the impossibility of setting a price in a ‘unanchored’ economy.” “Part of this stabilisation process is that firms set a value, and nationwide companies repurchase these assets and bring the money from abroad or obtain financing,” he added. Profitability constitutes an additional consideration. “Measured in dollars, there are leading countries such as the United States or others in Europe which provide more than 10 percent of profitability; so, if Argentina provides three percent, we can consider it low – five percent is a medium-high average,” stated Federico Carrera during an interview. On the positive side, multinationals typically gain supplementary advantages from their operations in Argentina, as they develop essential capabilities that can be replicated throughout the region and applied to other countries, owing to the expertise of Argentine executives, noted the analyst. “Yet when the fiscal impact is significant, efforts to comprehend inflation deteriorate and the business risks within the value chain escalate, companies recognize that the cost-benefit equation has shifted to a negative stance,” Carrera pointed out.
The narrowing of the foreign exchange gap between the official dollar exchange rate and financial exchange rates, such as ‘CCL,’ facilitated a more cost-effective conversion for multinationals in 2025, allowing them to transform their “trapped” pesos into dollars and ultimately exit the market. “The inability to allocate revenue is perceived negatively by any investor,” Carrera concurred. As purchasing power has declined, numerous consumer companies have displayed a “for sale” sign. The case that has garnered the most attention is that of French supermarket giant Carrefour, which reached a pivotal juncture last month. By year-end, operations may cease. Business leaders Alfredo Coto and Francisco de Narváez represent notable stakeholders in this context. Carrefour is undertaking a global reorganization of its operations, focusing on its most profitable and stable markets, primarily in Europe, with a particular emphasis on France and Spain. The Argentine subsidiary, despite a substantial sales volume and significant presence (over 680 shops and 17,000 employees), has failed to reach the profitability levels anticipated by the parent company in recent years. Makro, the Dutch wholesaler, exited the market last January. The decision constituted a component of a calculated regional disengagement.
Cencosud has acquired full ownership of its operations for a total consideration of US$122.5 million. Negotiations commenced in 2024, signaling SHV Holdings’ withdrawal from the country after over thirty years; consequently, this development facilitated Cencosud’s entry into the wholesale cash and carry sector in Argentina. The divestiture of Burger King’s operations in Argentina is progressing rapidly and may reach a conclusion within the forthcoming week. The process initiated in late September when the Mexican group Alsea listed its 116 restaurants for sale, gained momentum in early October with the unexpected emergence of a new contender, Grupo Desembarco. The Argentine food firm has officially confirmed that it is in the “last stages of negotiations” following the presentation of a letter of intent that has been accepted by Alsea to advance discussions. The formal announcement of HSBC’s exit occurred in April 2024, coinciding with the disclosure of a sale agreement to Grupo Financiero Galicia for US$550 million. The operation secured the final approval from the Central Bank on September 12, 2024, and was completed in December 2024, at which point the branches were rebranded as “Galicia Más.” HSBC provided a clear rationale that aligned with its overarching global strategy: the divestiture enabled the firm to concentrate its resources and capital on “opportunities with a higher value” within its international network, particularly in the Asian market. Galicia has incorporated between 600,000 and 700,000 new clients from HSBC’s portfolio, solidifying its position as the largest private bank in Argentina.
Vaca Muerta experienced a significant process of “Argentinisation” over the past two years, characterized by the departure of multinational corporations, which have frequently been supplanted by domestic players. The most significant divestiture occurred when ExxonMobil, in late October 2024, divested all its strategic shale oil assets to the Argentine company Pluspetrol, in a transaction valued at nearly US$1.7 billion, mere months prior to Milei assuming office. In April 2025, Malaysian state oil company Petronas made a significant move by divesting its key stake in the “premium” La Amarga Chica block, for around US$1.2 billion. The trend was observed by French company TotalEnergies, albeit without a full withdrawal. In August 2025, the company realigned its strategic focus by divesting its primary oil assets in Vaca Muerta to the state-owned firm YPF, thereby concentrating its efforts on gas operations. The motivations for these exits are primarily driven by strategic global considerations from parent companies, which aim to reallocate capital towards projects that present lower risk or higher profitability in other regions, leveraging the interest of local firms to strengthen their foothold in the non-conventional formation.
Telefónica divested its entire stake in Movistar Argentina to Telecom in a transaction completed in March 2025, aligning with its overarching strategy to mitigate exposure in the Hispanic American market. Other firms also altered their business model, including Procter & Gamble and Clorox, which divested their plants and licensed their primary brands (such as Ariel, Ayudín, Poett) to local operators, while maintaining a presence in the country. In the insurance sector, the US company Prudential divested its local operations to Grupo Werthein in 2024. In the healthcare sector, Brazilian entity Dasa has divested its interest in the Diagnóstico Maipú laboratory network, transferring ownership to the local group Swiss Medical in October 2025.