Kimberly-Clark to Buy Kenvue

Acquirer: Kimberly-Clark Corporation (Nasdaq: KMB)

Manufactures and markets personal care products in the United States
Product offerings include disposable diapers, baby wipes, feminine care products, facial and bathroom tissue, paper towels, napkins, wipers, tissue, towels, soaps and sanitizers, and other related products
Brands include Huggies, Pull-Ups, GoodNites, Kotex, Poise, Depend, Kleenex, Scott, Cottonelle, Viva, and Wypall
Founded in 1872 and headquartered in Dallas, Texas

PJT Partners and J.P. Morgan

Global consumer health company in the United States, Europe, the Middle East, Africa, Asia-Pacific, and Latin America
Operates through 3 segments: Self Care, Skin Health and Beauty, and Essential Health
Self Care segment offers cough, cold and allergy, pain care, digestive health, smoking cessation, eye care, and other products under the Tylenol, Motrin, Benadryl, Nicorette, Zarbee's, ORSLTM, Rhinocort, Calpol, and Zyrtec brands
Skin Health and Beauty segment provides face and body care, hair, sun, and other care products under the Neutrogena, Aveeno, Dr.Ci:Labo, Le Petit Marseillais, Lubriderm, Rogaine, and OGX brand names
Essential Health segment offers oral and baby, women's health, wound, and other care products under the Listerine, Johnson's, Band-Aid, and Stayfree, o.b., tampons, Carefree, and Desitin Diaper Rash brands
Incorporated in 2022 and headquartered in Summit, New Jersey

Centerview Partners and Goldman Sachs

$48.7 billion/Cash and stock

Set to be the largest buyout in U.S. consumer goods sector to date, the merger will give Kimberly-Clark access to Kenvue's vast portfolio of brands from Listerine mouthwash and Band-Aid to skincare names like Aveeno and Neutrogena
Combined company expected to bring in annual revenues of roughly $32 billion with $2.1 billion in annual cost savings from the acquisition
Kenvue spun out of Johnson & Johnson in May 2023; since then, shares have fallen almost 35% from their initial public offering price
Kenvue faces litigation over Tylenol and baby powder products

Kenvue shareholders will receive $3.50 per share in cash as well as 0.14625 Kimberly-Clark shares for each Kenvue share, for a total consideration to Kenvue shareholders of $21.01 per share, implying a 46.2% premium to the stock's last closing price
Upon closing, current Kimberly-Clark shareholders are expected to own ~54% and current Kenvue shareholders are expected to own ~46% of the combined company
Deal expected to close in the second half of 2026
Acquisition would be one of the largest on Wall Street this year