Kimberly-Clark to Buy Kenvue for $48.7 Billion
Kimberly-Clark is set to purchase the business of global consumer health company Kenvue.
The $48.7 billion transaction will represent enhanced investments in R&D, quality and capabilities to scale innovations that serve consumers' unmet needs, according to Kimberly-Clark, which manufactures such brands as Huggies, Kleenex and Kotex. The transaction will expand its product portfolio, bringing in health brands such as Tylenol, Band-Aid and Benadryl from Kenvue.
The combined company will include 10 billion-dollar brands to create a "global health and wellness leader," supported by Kimberly-Clark's commercial engine and digital model and paired with Kenvue's science-backed innovation.
Additionally, Kimberly-Clark expects to benefit from Kenvue's relationships with dermatologists, dentists and pediatricians as it upgrades its go-to-market playbook to accelerate growth.
Mike Hsu, Kimberly-Clark CEO, said in a statement that the move aligns with the company's pivot toward higher-growth, higher-margin businesses as it rewires its organization to work smarter and faster.
"We have built the foundation, and this transaction is a powerful next step in our journey," he added.
Russ Torres was recently promoted to president and chief operating officer to help lead this transformation, according to the company's latest earnings call. He was previously the group vice president for Kimberly-Clark's North America business.
Hsu will be the chairman and CEO of the combined company, which will maintain Kimberly-Clark's headquarters in Irving, Texas, while keeping a significant presence in Kenvue's locations.
The deal is expected to close in the second half of 2026. It is expected to yield $1.9 billion in cost synergies and an estimated $500 million in incremental profit from revenue synergies, captured within the first four years after the acquisition.
