EU Poised to Grant Full Approval for Suzano's $3.4B Kimberly-Clark Tissue Deal
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Brazil's Suzano is reportedly set to receive full EU antitrust approval for its $3.4 billion joint venture with Kimberly-Clark, according to sources. This deal, announced last June, involves Suzano acquiring a 51% stake in Kimberly-Clark's international tissue business, which includes popular brands like Kleenex, Scott, and Cottonelle. The unconditional green light from the European Commission, expected by May 11, removes a significant regulatory hurdle for this material transaction, which represents over 10% of Kimberly-Clark's market capitalization. This development is positive for KMB as it progresses towards completing the divestiture of a substantial portion of its international tissue operations, streamlining its portfolio. Investors will now watch for the outcome of the pending UK competition agency investigation.
At the time of this announcement, KMB was trading at $95.40 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $31.7B. The 52-week trading range was $92.42 to $144.31. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.