US Kimberly-Clark Corp. plans to sell its overseas operations for paper products and Kleenex brand products for $3.5bn, The Wall Street Journal reports, citing informed sources.
According to the sources, the buyer is Brazilian pulp producer Suzano.
The deal could be concluded as early as Thursday.
The sale of the business, which makes Andrex toilet paper and WypAll cleaning wipes, for example, is in line with the company’s plans announced last year to reorganise operations into three main divisions to cut costs.
Kimberly-Clark is getting rid of some brands as it seeks to focus on its most profitable businesses. Last year, the company sold a division that designs, markets and sells gloves, eyewear and apparel under the Kimtech and KleenGuard brands to Australia’s Ansell for $640 million.
Kimberly-Clark shares have risen 5.6 per cent since the start of this year.
Kimberly-Clark, a multinational corporation founded more than 150 years ago, manufactures health care, personal, professional and industrial hygiene products. The most famous trade marks are Huggies, Kleenex, Kotex and Pull-Ups, which allow it to hold leading positions in the sector of paper-hygienic products in the markets of 70 countries.