In a stunning announcement, Summit-based Kenvue announced Monday morning that it has been acquired by Kimberly-Clark, creating a $32 billion global health and wellness leader.
The transaction, which is scheduled to close in the second half of 2026, has been unanimously approved by the boards of both companies.
Mike Hsu, currently the head of Kimberly-Clark, will be the chairman and CEO of the combined company. And while the combined company will maintain a substantial presence in New Jersey — Kenvue held a ribbon-cutting on a headquarters in Summit in March — it will make its headquarters in Irving, Texas.
Under the terms of the agreement, subject to the receipt of Kenvue and Kimberly-Clark shareholder approvals, regulatory approvals and satisfaction of other customary closing conditions, Kenvue shareholders will receive $3.50 per share in cash as well as 0.14625 Kimberly-Clark shares for each Kenvue share held at closing, for a total consideration to Kenvue shareholders of $21.01 per share, based on the closing price of Kimberly-Clark shares as of Oct. 31.
Upon closing of the transaction, current Kimberly-Clark shareholders are expected to own approximately 54%. Current Kenvue shareholders are expected to own approximately 46% of the combined company on a fully diluted basis.
The deal brings together two iconic American companies to create a combined portfolio of complementary products, including 10 billion-dollar brands, that touch nearly half the global population through every stage of life.
Kenvue, a spinoff of Johnson & Johnson, features globally known brands such as Tylenol, Listerine, Neutrogena, Band-Aid, and Johnson’s Baby Powder and Baby Oil. Kimberly-Clark’s top products include Huggies, Kleenex, Kotex, Cottonelle, Scott and Depend.
Officials say the combined company, with teams of talented people around the globe, will harness a superior commercial engine — fueled by strategic customer partnerships, category-defining growth, industry-leading science and innovation, a differentiated digital model, best-in-class marketing and a culture of operating excellence — to unlock the full potential of the combination and better meet the evolving needs of consumers.
Kenvue CEO Kirk Perry applauded the announcement.
“Our combination with Kimberly-Clark unites two highly complementary portfolios filled with iconic, beloved brands and everyday essentials that people trust and count on throughout their lives,” he said. “Our teams share a passion for delivering science-backed solutions that play a meaningful role in homes and communities around the world. Together, our combined strengths, expanded capabilities and resources, and broader reach will empower us to innovate even faster and strengthen our category leadership.
“We truly believe this transaction with Kimberly-Clark will bring greater value to our shareholders, create new and different potential growth opportunities for our talented employees and deliver even more benefits to our customers and consumers.”
Hsu obviously agreed.
“Kenvue is uniquely positioned at the intersection of CPG and healthcare, with exceptional talent and a differentiated brand offering serving attractive consumer health categories,” he said. “With a shared commitment to developing science and technology to provide extraordinary care, we will serve billions of consumers across every stage of life.
“Over the last several years, Kimberly-Clark has undertaken a significant transformation to pivot our portfolio to higher-growth, higher-margin businesses while rewiring our organization to work smarter and faster. We have built the foundation and this transaction is a powerful next step in our journey. We look forward to working with the Kenvue team to bring these companies together and are confident that we will drive significant value for our combined shareholders.”
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