Suzano has been given unconditional approval by the European Commission to acquire Kimberly-Clark IFP NewCo B.V., after the EU executive found the deal would not raise competition concerns in the European Economic Area.
The Brazilian company is a major producer of bleached eucalyptus kraft pulp (BEKP) — a type of wood pulp used to make tissue paper products — while Kimberly-Clark IFP comprises Kimberly-Clark Corporation’s International Family Care & Professional business in Europe and other regions, the European Commission said in a release on Monday.
Kimberly-Clark IFP’s business includes tissue products for personal and professional use, such as tissues, toilet paper, paper towels, wipers and related items.
The Commission examined the “vertical” link between the companies — Suzano’s supply of BEKP and Kimberly-Clark IFP’s production of tissue products — to assess whether the combined group could restrict pulp supplies or worsen terms for rival tissue producers in the EEA.
It concluded that competing tissue producers in the EEA would still have sufficient access to BEKP supplies, including from alternative global suppliers shipping into the region and EEA-based producers.
Why the Commission cleared the deal
EEA tissue producers typically source BEKP from multiple suppliers and can switch supplier without significant barriers, reducing the risk that rivals could be disadvantaged through higher BEKP prices, the Commission said.
The EU executive also noted that Kimberly-Clark IFP has a limited market position in the EEA, meaning the merged business would not have a commercial incentive to restrict BEKP supplies to competitors.
The transaction was notified to the Commission on 31 March 2026 and was cleared unconditionally under the EU Merger Regulation.
