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Kimberly-Clark Sells Majority Stake in Global Tissue Biz to Suzano in $1.7B Streamlining Play

Kimberly-Clark Corporation (NASDAQ:KMB) is one of the Best Stagflation Stocks to Buy Now. In June 2025, Kimberly-Clark announced a sweeping joint venture with Brazilian pulp giant Suzano, marking one of the company’s boldest strategic pivots in years.

Under the deal, Suzano will acquire a 51% stake in Kimberly-Clark’s international tissue business for $1.73 billion in cash, while Kimberly-Clark retains 49% and continues licensing its brands, including Kleenex and Scott, to the new entity. The transaction is expected to close by mid-2026.

Pixabay/Public Domain

The move is a calculated retreat from the global tissue battlefield. By offloading 22 factories and operations in over 70 countries, Kimberly-Clark isn’t shrinking, it’s streamlining. The aim is to refocus on higher-margin personal care and North American tissue, while letting Suzano drive efficiency in pulp-intensive operations abroad. Estimated cost synergies of $175 million annually make the venture attractive, but the timing is just as strategic.

Kimberly‑Clark is best known for everyday essentials like Huggies diapers, Kleenex tissues, Scott paper towels, and Depend adult incontinence products.

While we acknowledge the potential of KMB to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than KMB and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None.

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