Suzano and Kimberly-Clark have formed a $3.4 billion joint venture to produce and distribute tissue products globally, with Suzano acquiring a 51% stake and Kimberly-Clark retaining 49%.

Target Information

Suzano, the largest pulp producer globally, has partnered with Kimberly-Clark, a leading player in the consumer staples sector, to form a joint venture valued at US$3.4 billion. This new entity will focus on the manufacture, marketing, and distribution of a range of consumer and professional tissue products, including toilet paper, napkins, paper towels, and facial tissues, across more than 70 countries. Suzano will hold a 51% ownership stake, while Kimberly-Clark will retain a 49% interest in the joint venture.

As part of the agreement, Suzano will pay Kimberly-Clark US$1.734 billion in cash for its stake upon closing, subject to customary adjustments. The completion of this transaction is contingent upon regulatory approvals and the fulfillment of specific conditions, including a corporate reorganization within Kimberly-Clark's Consumer Tissue and Professional segment. The deal is anticipated to close in mid-2026 and will impact approximately 9,000 employees.

Industry Overview

The tissue products industry is a vital segment within the broader consumer goods market, characterized by its resilience and consistent demand across various regions. The global tissue market is expected to see substantial growth, driven by rising consumer