Kimberly-Clark Plans $48B Acquisition of Tylenol Maker Kenvue Despite Controversy

Kimberly-Clark is set to acquire Kenvue, the maker of Tylenol and other well-known health products, in a $48.7 billion cash and stock transaction, creating a major global health and wellness company with about $32 billion in annual revenue. Despite recent scrutiny and lawsuits alleging a link between Tylenol and autism raised by President Trump, Health Secretary Robert F. Kennedy Jr., and Texas Attorney General Ken Paxton, Kimberly-Clark is confident in the deal's value and the baselessness of these claims. The combined company will merge Kenvue's brands like Aveeno, Band-Aid, and Johnson's with Kimberly-Clark's portfolio including Kleenex, Huggies, and Cottonelle, offering complementary products across different life stages. Kimberly-Clark CEO Mike Hsu highlighted that the merger positions the new entity uniquely between consumer-packaged goods and healthcare, expecting significant growth opportunities and value creation for shareholders. The deal is expected to close in the second half of next year, with Kimberly-Clark maintaining its headquarters in Irving, Texas, and continuing a strong presence in Kenvue’s locations. This acquisition follows Kenvue's recent spin-off from Johnson & Johnson and comes amid leadership changes and strategic review pressures faced by Kenvue.