Purchase of Kimberly-Clark by Suzano in Brazil receives final approval
Main assets included in the operation are the tissue factory in Mogi das Cruzes (São Paulo), with an annual installed capacity of 130 thousand tons, and the Neve brand
Brazil’s antitrust watchdog, the Administrative Council for Economic Defense (CADE) definitively approved, this Tuesday, 18, the purchase of Kimberly-Clark’s tissue paper operations in Brazil by Suzano. The deal had been closed in October.
Cade had issued a favorable opinion on the purchase at the end of March, but final approval was subject to the condition that no appeal was filed within a period of 15 days from the publication of the decision in the Federal Official Gazette.
“After 15 days have passed since the assent and without restrictions, Cade’s approval is now final. With the formal approval of the competition authority, the conclusion of the operation will be subject to other contractual conditions precedent, which we hope will occur as soon as possible”, said Kimberly-Clark, in a note.
At the end of last year, Suzano announced that it had signed a purchase and sale agreement with K-C Brasil, including ownership of the Neve brand, together with the assets of Kimberly-Clark Professional and the granting of a license for the manufacture and sale of brands Kleenex, Scott and WypAll in the country.
The transaction, which also includes the multinational’s facility located in Mogi das Cruzes (São Paulo), with an installed capacity of 130 thousand tons of paper per year, is budgeted at US$ 175 million.
