Kimberly-Clark Corporation announced on June 5, 2025, a strategic partnership with Brazilian pulp maker Suzano to create a preeminent international tissue and professional products company. Kimberly-Clark will hold a 49% interest in the new venture, with Suzano owning 51%.
The transaction is valued at approximately $3.4 billion, including debt, and Suzano will pay Kimberly-Clark about $1.73 billion in cash for its majority stake. Kimberly-Clark will contribute substantially all assets of its International Family Care and Professional (IFP) business, which generated approximately $3.3 billion in net sales in 2024, encompassing 22 manufacturing facilities and 9,000 employees.
Kimberly-Clark's global brands, including Scott, Kleenex, Viva, WypAll, and Kimberly-Clark Professional, will be licensed to the new entity under a long-term agreement. The company expects the transaction to be approximately $0.30 to $0.40 dilutive to Adjusted Earnings Per Share in the first full year following its anticipated close in mid-2026, with initial cash proceeds intended for share repurchases.
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