Kimberly-Clark agrees to purchase Tylenol Maker Kenvue

7 hours agoLast Updated: November 3, 2025

5 9 minutes read

Kimberly-Clark agrees to purchase Tylenol Maker Kenvue

By Sherin Shibu | Published: 2025-11-03 16:01:00 | Source: Entrepreneur

Key takeaways

Kimberly-Clark, which owns Kleenex and Huggies, agreed to buy Kenvue, the maker of Tylenol and Band-Aid, on Monday in a deal valued at $48.7 billion.
The combined business expects annual revenues of $32 billion.
The acquisition requires shareholder approval and is expected to close in the second half of 2026.

Kimberly-Clark, the company behind Kleenex, Huggies and Kotex, agreed Monday to acquire Kenvue, the owner of Tylenol, Band-Aid and Neutrogena, in a cash-and-stock deal worth about $48.7 billion. The move will create one of the largest consumer goods and health goods companies in the world CNBC.

Companies said in press release The combined business will generate annual revenues of US$32 billion and annual cost savings of approximately US$2.1 billion. The acquisition brings together brands worth $10 billion, including Johnson’s Baby products and Listerine mouthwash, and is expected to become one of the largest deals this year, according to CNBC.

The two companies said in the statement that the new company will manufacture products that “touch nearly half of the world’s population during every stage of life.”

Related to: Acquisitions fail when leaders ignore these drivers of business value

Under the deal, Kimberly-Clark will pay $21.01 per Kenvue share, a premium to Friday’s closing price of $14.37. Upon completion of the transaction, Kimberly-Clark shareholders are expected to own approximately 54% of the combined company, while Kenvue shareholders will own approximately 46%, per CBS.

The acquisition is subject to shareholder approval and is expected to close in the second half of 2026.

Tylenol, a brand of Kenvue. Photograph: Valerie Macon/AFP via Getty Images

“Over the past several years, Kimberly-Clark has made a significant shift to pivot our portfolio toward higher-growth, higher-margin companies while realigning our organization to work smarter, faster,” Kimberly-Clark Chairman and CEO Mike Hsu said in the press release.

“We have built the foundation, and this transaction is a powerful next step in our journey,” Hsu said in the press release.

Related to: This AI startup just received $900 million from Nvidia to hire its CEO and license its technology

Kenvue shares were Up to more than 16% At the time of writing, while Kimberly-Clark shares… A decrease of approximately 12%.

Kenvue, a group of consumer health brands, has been under public scrutiny following the administration of President Donald Trump linked Tylenol pain relief medication for autism in September. Kenvue has denied management’s allegations, per CNN.

The company announced it Third quarter 2025 Results on Monday showed that organic sales fell 4.4%, Worse than expected. Meanwhile, Kimberly Clark Announce Q3 2025 results last week showed organic sales growth of 2.5% and net sales of $4.2 billion.

Kenvue was originally part of Johnson & Johnson, but was spun off from the company In May 2023. Since that moment, Kenvue shares have fallen more than 30%. At the time of writing, Kenvue is trading at approx $16 per share With a market value of about $32 billion. Kimberly-Clark’s market capitalization reached… About 35 billion dollars.

Related to: Warren Buffett just made his biggest deal in 3 years, and it will likely be his last as CEO

Key takeaways

Kimberly-Clark, which owns Kleenex and Huggies, agreed to buy Kenvue, the maker of Tylenol and Band-Aid, on Monday in a deal valued at $48.7 billion.
The combined business expects annual revenues of $32 billion.
The acquisition requires shareholder approval and is expected to close in the second half of 2026.

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