Kimberly‑Clark has agreed to acquire Kenvue, the maker of Tylenol, in a cash‑and‑stock deal valuing Kenvue at US $48.7 billion, a transaction that would combine two of the world’s best‑known consumer brands and mark a major shift as Kimberly‑Clark diversifies beyond tissue and personal‑care products. Wood Central understands that Kimberly-Clark shareholders will own 54% of the combined company, with Kenvue shareholders holding the remaining 46%.
The transaction will place Kenvue staples, such as Tylenol, Band-Aid, and Listerine, alongside Kimberly-Clark products, including Huggies, Kleenex, and Cottonelle; the combined group is expected to generate $32 billion in revenue every year.
Kenvue has been an independent company since its 2023 spin-off from Johnson & Johnson. However, the company drew intense public scrutiny after Robert F. Kennedy Jr. reiterated unproven claims linking acetaminophen use to certain health conditions —assertions that the UK-based Independent reported have no established medical proof.
The deal, announced Monday, is the largest corporate takeover this year. “This is something I believe Kimberly‑Clark has been wanting to do for quite some time,” said Nik Modi, co‑head of global consumer and retail research at RBC Capital Markets, who spoke to Bloomberg earlier today. “If you think about it, strategically, with this combined entity, they’ll be able to provide products for the entire lifespan of a consumer. From birth with diapers, to aging with incontinence products. As we age, the more skincare products we use, right? Kimberly-Clark didn’t have a skincare business before, but it now does. They’ll also have more self‑care products. So strategically, it makes a lot of sense.”
On Kimberly‑Clark, Modi added, “they’re also selling their European consumer tissue business, which is a big one and gave them a lot of negative exposure to the pulp market. So they’re making a lot of changes. They’ve brought in new executives from outside and upgraded their capabilities. Kimberly‑Clark has been very active in recent years, and I think they felt the time was right to make this move.”
Wood Central understands that three members of Kenvue’s current board will join Kimberly‑Clark’s enlarged board, whilst the new company will retain Kimberly‑Clark’s headquarters in Irving, Texas, while maintaining a significant presence in Kenvue locations. In a statement, Kimberly‑Clark Chairman and CEO Mike Hsu said, “We will serve billions of consumers across every stage of life.” The company confirmed Hsu will serve as chairman and CEO of the company.
The latest acquisition comes after Wood Central revealed in June that Kleenex’s global tissue businesses have a new majority owner after Kimberly-Clark agreed to sell a majority stake in its international business, which will see the vast majority of its prized brand, outside North America, being held in a newly developed joint venture with Brazilian pulp supplier Suzano SA.
The monster deal—which valued the International Family Care and Professional unit at US$3.4 billion—will see Suzano, the world’s largest pulp producer, buy a 51% stake in manufacturing, marketing, and distributing consumer and professional tissue products, including toilet paper, napkins, paper towels, and facial tissues, in over 70 countries.
