Kimberly-Clark and Suzano launch hygiene giant Arbex

Suzano and Kimberly-Clark have created Arbex, a new global tissue and hygiene company. The brand was formed as a US$3.4 billion joint venture between the two and has commenced independent operations, unveiling its brand, leadership, and corporate structure. 

The venture’s independent operations span over 70 markets, uniting global brands including Kleenex, Scott, and Andrex under a pure-play tissue and hygiene business. The company is headquartered in the Netherlands, with an operational office in London, UK. 

Suzano holds a controlling 51% stake, while Kimberly-Clark retains 49%. Kimberly-Clark’s family care and professional business lines in North America are not part of the deal and remain with the company.

Arbex has assumed ownership of assets previously run by Kimberly-Clark’s International Family Care & Professional business unit, spanning 22 manufacturing sites in 14 countries and a portfolio of more than 40 regional brands, including Andrex, Hakle, and Scottex. 

“This new company brings together a distinguished heritage, a portfolio of trusted brands, and a compelling vision for the future,” says Arbex CEO Ehab Abou-Oaf. 

“Our parent companies have given us a sturdy foundation and a leading market position. In an increasingly dynamic and evolving global landscape, Arbex is embarking on a new journey from a position of strength, and we believe we can shape the future of the tissue and hygiene sector.”

He adds that the company’s immediate priority is a smooth transition for colleagues, customers, and consumers worldwide, while continuing to earn the trust of the hundreds of millions of households that use its products daily.

Arbex holds a long-term license for Kimberly-Clark’s global brands, among them Kleenex, Cottonelle, Scott, WypAll, Viva, and Kimberly-Clark Professional. According to EUWID Paper, its sites can produce around one million tonnes of tissue per year, and the business employs approximately 9,000 people, with expected annual sales of about US$3.3 billion.

Luís Bueno, formerly executive VP of Suzano’s consumer goods business, has become the chief operating officer of the new company. Bueno says the venture combines Suzano’s industrial and operational expertise with Kimberly-Clark’s international marketing and brand capabilities, united by shared values of innovation and sustainability. 

“With a pure-play focus on tissue and hygiene products, we believe Arbex has commercial, technical, and innovation capabilities that can deliver top-line and bottom-line improvements, helping make us the undisputed global leader in our sector.”

He concludes that the business holds significant market share in over 70 countries and will be “a successful global business” from day one, giving it a launchpad for accelerated growth.