Kimberly-Clark is preparing to offer concessions to address competition concerns raised by the European Union regarding its acquisition of Kenvue, the company behind brands such as Listerine and Tylenol. The proposed takeover, valued at more than $40 billion, was initially announced in November 2025 and is expected to create a combined global health and wellness enterprise.

The deal, valued at approximately $48.7 billion including debt, involves a cash-and-shares transaction that would merge Kimberly-Clark’s well-known household brands, including Kleenex, Huggies, and Andrex, with Kenvue’s portfolio. The European Commission is expected to formally communicate its concerns to Kimberly-Clark this week, as part of its preliminary antitrust review which is due to conclude by September 29.

Following this notification, Kimberly-Clark must decide whether to propose concessions to expedite regulatory approval or to await a potential extended four-month investigation. The outcome of this process will be crucial in determining the timeline for securing EU approval and moving forward with the acquisition.

The deal has already received clearance in Australia, subject to some divestments, and gained conditional approval in South Africa. The transaction continues to advance amid scrutiny from other regulatory bodies globally.

In trading following the reports, Kimberly-Clark’s shares rose 2 percent to $100, while Kenvue’s stock increased by 1.7 percent to $18. Representatives for Kimberly-Clark and the European Commission did not provide immediate comments on the matter.