Texas Asks Court to Halt Kenvue Tylenol Marketing, Dividend

Core Viewpoint - Texas officials are seeking a temporary court order to prevent Kenvue Inc. from marketing Tylenol as safe for pregnant women and from issuing dividends, amid ongoing legal challenges related to the drug's alleged links to autism and other disorders [1][2][7]. Group 1: Legal Actions and Implications - Texas Attorney General Ken Paxton is pursuing legal action against Kenvue and its former parent company, Johnson & Johnson, claiming they concealed potential risks associated with acetaminophen during pregnancy [2][4]. - Kenvue has responded by stating that the claims linking Tylenol to autism are unsupported by scientific evidence and that untreated pain during pregnancy poses its own risks [3][4]. - The Texas motion argues that any dividends paid by Kenvue could violate state law by moving assets to avoid fulfilling obligations, potentially harming creditors, including the State of Texas [5][6]. Group 2: Corporate Developments - Kimberly-Clark Corp. has announced plans to acquire Kenvue for approximately $40 billion, despite the ongoing legal issues surrounding Tylenol [4][8]. - Analysts have indicated that investors may be cautious about the acquisition due to the mounting legal challenges faced by Kenvue [4].