Kimberly-Clark and Suzano To Create Global Tissue Company

Kimberly-Clark is creating a new global tissue company that will manufacture, market and distribute products such as toilet paper, facial tissues, paper towels and napkins through a joint venture with Brazilian pulp company Suzano. 

The $3.4 billion deal brings together Kimberly-Clark’s portfolio of consumer and professional tissue brands with Suzano’s industrial manufacturing efficiency.

This is part of ongoing restructuring efforts initially announced last year. The company is reorganizing into three main business areas and shoring up its supply chain to support efforts and cut costs. 

More: Learn how the company is optimizing its collaborative supply chain amid the costly tariff environment

“This transaction is a powerful step forward in the transformation strategy we laid out last year,” said Kimberly-Clark CEO Mike Hsu in a statement, who added that the investment will help the company focus its portfolio on higher-growth, higher-margin businesses.