‘India's biggest pharma deal’: Sun Pharma acquires US-based Organon for $11.75 billion in cash

Sun Pharmaceutical Industries Ltd. has entered into an agreement to acquire Organon & Co. in an all-cash transaction valued at $11.75 billion, marking the largest deal in India’s pharmaceutical sector.

Under the terms of the agreement, Sun Pharma will purchase all outstanding shares of Organon for $14.00 per share. The deal, approved by the boards of both companies, remains subject to regulatory clearances and approval from Organon shareholders.

Organon, a global healthcare company formed in 2021 following a spin-off from Merck & Co. (known as MSD outside the United States and Canada), specialises in women’s health and established medicines. Its portfolio includes more than 70 products marketed across 140 countries.

The acquisition is expected to expand Sun Pharma’s global footprint and strengthen its position in branded generics and biosimilars. The combined entity would have operations in around 150 countries and revenues of approximately $12.4 billion, placing it among the world’s top 25 pharmaceutical companies.

“This transaction represents a significant opportunity for Sun Pharma to build on its vision of Reaching People and Touching Lives. Organon’s portfolio, capabilities and global reach are highly complementary to our own, and we believe that bringing the two organizations together can create a stronger and more diversified platform. We have deep respect for Organon’s mission and look forward to building on its legacy while driving sustainable long‑term growth,” said Dilip Shanghvi, ECO of Sun Pharma.

“This transaction is a logical next step in strengthening Sun Pharma’s global business. Together, we will become a partner of choice for acquiring and launching new products. Our immediate priorities will be business continuity, disciplined integration and responsible value creation. We see strong potential in leveraging Organon’s talent pool. In addition, there is a scope for synergies including significant revenue upside opportunities to be realized over the coming years,” said Kirti Ganorkar, Managing Director of Sun Pharma.

“Following a comprehensive review of strategic alternatives, our Board determined that this all‑cash transaction offers compelling and immediate value to Organon stockholders. We believe Sun Pharma is well positioned to support Organon’s businesses, employees and patients globally, and to further advance our commitment to delivering impactful medicines and solutions,” Carrie Cox, Executive Chair of Organon.

The acquisition would also accelerate its push into innovative medicines and establish it as a major player in women’s health and biosimilars globally, the company said.