Sun Pharma to Acquire US-Listed Organon in $12 Billion Transaction

Sun Pharmaceutical Industries Agrees to Acquire Organon & Co. in $11.75 Billion Deal

Sun Pharmaceutical Industries Ltd. has agreed to acquire New York-listed women's health-care company Organon & Co., in what is likely to be one of the biggest India outbound deals in years. Under the terms of the agreement, Sun Pharma will pay $14 per Organon share in cash, giving the company an enterprise valuation of $11.75 billion.

The acquisition, which has been approved by the boards of both Sun Pharma and Organon, is expected to close in early 2027, pending closing conditions such as regulatory and Organon shareholder approvals. Sun Pharma plans to fund the acquisition through a combination of available cash resources and committed financing from banks.

Organon, which has a market capitalization of roughly $3 billion, had also drawn interest from other bidders including Germany's Grünenthal and private equity firms. The New Jersey-based company was spun off from Merck & Co. in 2021 and had total debt of about $8.8 billion as of the end of last year.

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Sun Pharma is India's biggest pharmaceutical company and has a market value of $41 billion. Organon focuses on women's health in areas such as breast cancer, contraception, osteoporosis, and menopause, according to its website.