(Adds offering details in paragraphs 4 and 7, Kenvue IPO details in paragraph 5)
July 24 (Reuters) - Johnson & Johnson said on Monday it had launched an exchange offer under which its stockholders can opt for shares of Kenvue, its newly listed consumer health unit.
J&J, which currently owns an 89.6% stake in Kenvue, said it intends to split off at least 80.1% of the consumer health company's shares as part of the offering.
The offering will help J&J move a step closer in its plan to spin off the unit and focus on its larger medical devices and pharmaceuticals businesses.
The exchange will allow J&J shareholders to exchange their shares for those of Kenvue at a 7% discount, subject to conditions.
Kenvue, which debuted on the New York Stock Exchange
in May
, has a market capitalization of about $46 billion.
The offering comes days after
J&J
and
Kenvue
both forecast strong profit for this year.
Goldman Sachs and J.P. Morgan Securities are serving as dealer managers for the offering, J&J said.
J&J shares rose about 1% in premarket trading. (Reporting by Bhanvi Satija in Bengaluru; Editing by Shounak Dasgupta and Anil D'Silva)
UPDATE 2-J&J starts share exchange offer for consumer health spin-off Kenvue - Yahoo Finance
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