Suzano develops in tissue that declares a $ 3.4 billion joint venture with Kimberley-Clark
A. Suzano Joint Venture has been announced for its assets with Kimberly-Clark Tissue Global – toilet paper, scarves, paper towels and napkins – outside the United States, in the operation of expanding its variation towards high -value products beyond cellulose.
The transaction is ATED By WSJ.
Brazilian pays a US $ 1.73 billion cash for a 51%share, the total business is worth US $ 3.4 billion. (JV arises without debt.)
The transaction contains 22 tissue production plants in 14 countries, with the annual production capacity of marketing in all 70 countries about 1 million tonnes.
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And, according to Suzano, it combines complementary skills: Brazilian industrial expertise and branded management sales and marketing sales of Kimberly-Clark.
Suzano represents JV management and is likely to get a 49% stake from the third year. Kampadia said that Kimberly Clark would transfer his global brands, Scott, Cleanex and Scottex for 30 years without paying JV and royalties.
The operation of the operation is expected to take place in ‘between -2026’.
The transaction expanded the relationship, which began two years ago, and Suzano bought Kimberly Clark’s tissue assets in Latin America for $ 175 million.
Since Suzano’s presidency in July 2023, Beto has suggested that there are acquisitions in the radar of Beto Abrau. Last year, the company also negotiated to buy international paper, the mega M&A value billion was worth 15 billion.
Business is not running, but fears that the company can make its debt -buried transaction has weighted on the character.
Today’s transaction, small and in turn, in the form of JV, reduces this anxiety.
“This operation value can affect Suzano’s long -term growth strategy with the creation and economic discipline of the operation, and in businesses that have scalability and Suzano can affect its competitiveness,” said Suzano.
