Clorox Co., the largest U.S. maker of household bleach, agreed to buy Colgate-Palmolive Co.'s bleach divisions in six countries for $126 million to expand in Latin America and Canada.
The purchase of brands including Javex in Canada, Aqua Jane in Uruguay and Nevex in Venezuela will add units that had $77 million of sales this year, Oakland-based Clorox said. The purchase would cut Clorox's profit by as much as 4 cents a share in the six months through June.
New York-based Colgate-Palmolive, the world's biggest toothpaste maker, sold the units to focus on its more-profitable oral and personal-care items, it said.
Shares of Clorox rose 55 cents to $64.16. Colgate's stock added 8 cents to $65.17.