Kimberly-Clark Sells Majority Stake In Tissue Unit To Brazil’s Suzano

Kimberly-Clark announced that it has struck a deal with Brazilian pulp maker Suzano to sell a majority stake in its international tissue business, valuing the unit at about $3.4 billion, Reuters’ Anuja Bharat Mistry reported.

Suzano is one of the world’s largest pulp producers. I Photo: Suzano

The deal, structured as a strategic partnership, will form a new joint venture in which Kimberly-Clark will retain a 49% stake, while Suzano will pay about $1.73 billion in cash for a controlling 51% stake.

Suzano—one of the world’s largest pulp producers—will also have the option to purchase Kimberly-Clark’s remaining interest under certain conditions, the Irving, Texas-based company said. The deal is expected to close in mid-2026.

Several consumer-facing companies, including General Mills and PepsiCo, have ramped up strategic deals over the past year in efforts to boost growth and expand their global footprints.

Kimberly-Clark has also been simplifying operations and reorganizing its business to cut costs and focus on more profitable areas, such as its personal care and North American tissue segments.

“We think the influx of capital [from the deal] will help de-risk shares by giving Kimberly-Clark wiggle room during the uncertain macro environment,” said Arun Sundaram, an analyst with CFRA Research.