"Shareholders of Kimberly-Clark will own about 54% of the combined company. Kenvue shareholders will own about 46% in what is one of the largest corporate takeovers this year. The combined company will have a huge stable of household brands under one roof, putting Kenvue's Listerine mouthwash and Band-Aid side-by-side with Kimberly-Clark's Cottonelle toilet paper, Huggies and Kleenex tissues."
"Kenvue and Tylenol have been thrust into the national spotlight this year as President Donald Trump and Health Secretary Robert F. Kennedy Jr. promoted unproven and in some cases discredited ties between Tylenol, vaccines and the complex brain disorder autism. Trump then urged pregnant women against using the medicine. That went beyond Food and Drug Administration advice that doctors "should consider minimizing" the painkiller acetaminophen's use in pregnancy - amid inconclusive evidence about whether too much could be linked to autism."
"Kenvue has spent a relatively brief period as an independent company, having been spun off by Johnson & Johnson two years ago. J&J first announced in late 2021 that it was splitting its slow-growth consumer health division from the pharmaceutical and medical device divisions. Kenvue has since been targeted by activist investors unhappy about the trajectory of the company and Wall Street appeared to anticipate some heavy lifting ahead for Kimberly-Clark."
Kimberly-Clark is acquiring Kenvue in a cash-and-stock deal valued at about $48.7 billion. Kimberly-Clark shareholders will own about 54% of the combined company, with Kenvue shareholders holding about 46%. The merged company will consolidate household brands including Listerine, Band-Aid, Cottonelle, Huggies and Kleenex and is expected to generate about $32 billion in annual revenue. Kenvue was spun off from Johnson & Johnson two years ago and has faced pressure from activist investors. Kimberly-Clark shares fell over 13% after the announcement while Kenvue's stock rose more than 14%. Tylenol and Kenvue have drawn national attention amid disputed claims linking acetaminophen to autism.
Read at ABC7 Los Angeles
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