### Starboard Value Acquires Major Stake in Kenvue Following Split from Johnson & Johnson

Activist investment firm Starboard Value has secured a substantial stake in Kenvue, the consumer health company that separated from Johnson & Johnson in mid-2023. This development comes as Starboard aims to bolster Kenvue's share price, according to sources familiar with the matter. Starboard's Jeff Smith is anticipated to reveal more about this position at the upcoming 13D Monitor's Active-Passive Investor Summit on Tuesday. Notably, Starboard recently obtained a substantial $1 billion stake in the pharmaceutical giant Pfizer.

The news of Starboard's involvement caused Kenvue's shares to surge by approximately 5% during Monday's trading session, following an initial report by The Wall Street Journal. Founded on well-known brands such as Aveeno, Band-Aid, Listerine, Neutrogena, Tylenol, and Johnson & Johnson's baby products, Kenvue holds a significant place in both the market and the public's awareness.

Johnson & Johnson finalized the separation from Kenvue in August 2023, representing a pivotal transformation in its nearly 140-year history. The split was initiated in late 2021 to streamline J&J's operations and concentrate more on its pharmaceutical and medical device sectors. While J&J retains a stake in Kenvue, the separation allows Kenvue to operate with a distinct focus on consumer health products.

Since it began trading on the New York Stock Exchange in May 2023, Kenvue's stock has seen a decline. The company's shares began at around $27 on their first day, but had dropped to $21.72 by the close of trading last Friday. Consequently, Kenvue's market valuation now stands at approximately $41.6 billion, down from its initial valuation of $50 billion.

Kenvue's share performance has lagged behind other consumer product giants like Haleon and Procter & Gamble. While the S&P 500 has surged about 23% this year, Kenvue's shares have remained relatively unchanged. In contrast, Haleon's stock has risen by more than 20%, and Procter & Gamble's shares are up nearly 17% this year.

With Starboard Value's significant stakes in both Pfizer and Kenvue, it seems the investment firm is gearing up to influence and potentially revitalize these major health-related companies. Jeff Smith's forthcoming presentation could provide further insights into Starboard's strategic plans for enhancing Kenvue's market performance.