The global Kleenex and tissue business has a new majority owner after Kimberly-Clark agreed to sell a majority stake in its international business – which will see the vast majority of its prized brands – outside North America – being held in a newly developed joint venture with Brazilian pulp supplier Suzano SA.
The monster deal—which valued the International Family Care and Professional unit at US $3.4 billion—will see Suzano, the world’s largest pulp producer partner, buy a 51% stake in manufacturing, marketing, and distributing consumer and professional tissue products, including toilet paper, napkins, paper towels, and facial tissues, in over 70 countries.
Wood Central understands that the new business will close in mid-2026 and will see the 9,000-employee-strong company incorporated in the Netherlands and include 22 facilities in 14 countries in Europe, Asia, the Middle East, South and Central America, Africa, and Oceania. With an installed capacity of 1 million tonnes, Kimberly-Clark will retain its consumer tissue and professional businesses in the US along with its joint ventures in Mexico, South Korea, and Bahrain.
This new company brings together two global players that are leaders in their respective markets, with complementary capabilities that combine Suzano’s industrial expertise and operational management efficiency with Kimberly-Clark’s know-how in brand management, marketing and commercialization of both regional and global brands, as well as its extensive experience in managing operations across multiple regions worldwide.
Beto Abreu, CEO of Suzano.
Mike Hsu, Chair and CEO of Kimberly-Clark, said the transaction is a powerful step forward for the company: “We are pleased to enter into a strategic partnership with Suzano, a leader in its field, and we look forward to working closely together to deliver on the significant opportunities ahead for our International Family Care and Professional Business.”
Wood Central understands that 40 regional brands transferred to the joint venture, with the company entering into long-term license agreements for using Kleenex, Scott, Cottonelle, WypAll, Viva, and Kimberly-Clark Professional. It comes as Suzano – currently a leading player in Brazilian toilet paper following the 2023 acquisition of Kimberly-Clark’s Brazilian tissue assets and brands – is in the process of building a new tissue mill at its site in Aracruz, which Suzano confirmed will add 60,000 tonnes of capacity to its Consumer Goods Business Unit.
“We have an excellent understanding of Kimberly-Clark’s culture and internal processes, thanks to our 2023 acquisition of the Brazilian tissue business. We have already been able to achieve significant efficiency gains in these operations, which we are confident can be replicated in other regions,” according to Luis Bueno, Suzano’s Executive Vice President of Consumer Goods and Corporate Affairs.
“Our ability to achieve this goal is intrinsically tied to the tremendous quality of the talent within Kimberly-Clark’s team, who have helped develop and grow iconic, innovative and trusted brands that are a part of the everyday lives of hundreds of millions of people around the world.”
At the closing of the transaction, Suzano and Kimberly-Clark will enter into a joint venture agreement establishing certain rights and obligations related to the management, control, operation, shareholding, and other matters concerning the joint venture. The joint venture will have a Board of Directors with five members, three of whom will be appointed by Suzano and two of whom will be appointed by Kimberly-Clark. The transaction also includes a call option for Suzano to acquire Kimberly-Clark’s 49% interest in the new company.
