In a major cross-border move, Sun Pharma Industries has announced the acquisition of Organon & Co. in an all-cash deal valued at $11.75 billion. The transaction marks one of the largest overseas acquisitions by an Indian company.
Under the agreement, Sun Pharma will acquire all outstanding shares of Organon at $14 per share. The deal has been approved by the boards of both companies and is expected to close in early 2027, subject to regulatory approvals and shareholder consent.
Following the announcement, Sun Pharma’s shares surged over 7%, rising 7.53% to Rs 1,742 on the BSE and 7.50% to Rs 1,742 on the NSE. The rally added Rs 27,462.59 crore to its market valuation, taking it to Rs 16,142.85 crore in early trade.
Organon, which was spun off from Merck & Co. in 2021, operates 6 manufacturing facilities across the European Union and emerging markets. It has a portfolio of more than 70 products across women’s health, biosimilars, and general medicines, with a presence in over 140 countries.
Post-acquisition, Sun Pharma is expected to enter the top 25 global pharmaceutical companies with combined revenues of $12.4 billion. It will also become a top-3 player in global women’s health and the 7th-largest biosimilar company worldwide.
Executive Chairman Dilip Shanghvi said the transaction offers strong strategic alignment, highlighting Organon’s complementary portfolio and global reach. Organon Executive Chair Carrie Cox noted that the deal delivers immediate value to shareholders and positions the combined business for global growth.
For 2025, Organon reported revenue of $6.2 billion and adjusted EBITDA of $1.9 billion. It had debt of $8.6 billion and cash reserves of $574 million. Sun Pharma expects synergies exceeding $350 million within 2–4 years.
The combined entity will operate across 150 countries, with 18 markets each generating over $100 million in revenue.
This acquisition ranks among the largest overseas deals by Indian firms, alongside Tata Steel’s $12 billion acquisition of Corus in 2007 and Bharti Airtel’s $10.7 billion acquisition of Zain Africa in 2010. It also adds to Sun Pharma’s past acquisitions, including Ranbaxy in 2014 and Taro Pharmaceutical Industries in 2007.
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