Overview
- Part of the consideration will be paid in Kimberly-Clark shares, which could change the final transaction value.
- Shares diverged on the news, with Kenvue up about 20% premarket and Kimberly-Clark down roughly 14%.
- Kimberly-Clark projects more than $2 billion in annual cost savings and anticipates about $2.5 billion in restructuring costs over the first two years.
- The announcement follows a Texas lawsuit accusing Kenvue of concealing an alleged autism link to Tylenol, a claim rejected by the company and medical experts.
- Kenvue, spun off from Johnson & Johnson in 2023 and owner of Neutrogena, Listerine and Aveeno, is slated to be led in the combined company by Kimberly-Clark CEO Mike Hsu.