February 8, 2000

Kimberly-Clark Completes Acquisition of Safeskin Corporation

Acquisition Provides Kimberly-Clark's Health Care Business With an Entry Into The $3 Billion Glove Market

Acquisition Provides Kimberly-Clark's Health Care Business With an Entry Into The $3 Billion Glove Market

DALLAS, Feb. 8 -- Kimberly-Clark Corporation (NYSE: KMB) today completed the previously announced acquisition of Safeskin Corporation (Nasdaq: SFSK), a leading maker of high-quality, disposable gloves for the health care, high-technology and scientific industries. The transaction, which involves a tax-free exchange of stock, is valued at approximately $800 million. The acquisition took place after Safeskin's shareholders approved the transaction at a meeting in San Diego earlier today. Under the agreement, Safeskin shareholders will receive 0.1956 of a share of Kimberly-Clark common stock for each share of Safeskin common stock.

The acquisition of Safeskin allows Kimberly-Clark to leverage its existing products, distribution channels, sales force and technologies as it continues expanding into new health care segments and markets. Safeskin's state-of-the- art, low-cost manufacturing facilities in Thailand also complement Kimberly-Clark's existing tissue and personal care operations in that country.

With the acquisition, Kimberly-Clark enters the $3 billion disposable glove market with the No. 1 position in U.S. exam gloves and now offers head-to-toe protection for health care workers. The company's professional health care business already maintains leading market share positions in sterilization wrap, surgical gowns, face masks and closed-suction respiratory products.

The combined professional health care operation is expected to have annual sales of nearly $1 billion in 2000 and will be managed by David R. Murray, president of Kimberly-Clark's Professional Health Care sector.

With $13 billion in sales in 1999, Kimberly-Clark Corporation is a leading global manufacturer of tissue, personal care and health care products. The company's global brands include Huggies, Pull-Ups, Kotex, Depend, Kleenex, Scott, Kimberly-Clark, Kimwipes and WypAll. Other brands well known outside the U.S. include Andrex, Scottex, Page, Popee and Kimbies. The company's professional health care brands include Tecnol, Kimguard, Spunguard, MicroCool and Ballard Trach Care. Kimberly-Clark also is a major producer of premium business, correspondence and technical papers. The company has manufacturing operations in 40 countries and sells its products in more than 150 countries.

Certain matters contained in this news release concerning the business outlook, anticipated financial and operating results, strategies, contingencies and transactions of Kimberly-Clark constitute forward-looking statements and are based upon management's expectations and beliefs concerning future events impacting Kimberly-Clark. For a description of certain factors that could cause Kimberly-Clark's future results to differ materially from those expressed in any such forward-looking statements, see the section of Part 1, Item 1 of the company's Annual Report on Form 10-K/A for the year ended December 31, 1998 entitled "Factors That May Affect Future Results."


Close window | Back to top

Copyright 2018 Kimberly-Clark Corporation