New Delhi: Sun Pharmaceutical Industries Limited and US-based healthcare company Organon & Co. have entered into a definitive agreement under which Sun Pharma will acquire all outstanding shares of Organon at USD 14 per share in an all-cash transaction valued at USD 11.75 billion.
Organon, a global healthcare firm spun off from Merck & Co. in 2021, operates across women’s health and general medicines, with a portfolio of over 70 products marketed in more than 140 countries. Its key markets include the US, Europe, China, Canada, and Brazil, supported by six manufacturing facilities across the EU and emerging markets.
The acquisition aligns with Sun Pharma’s strategy to expand its innovative medicines business while strengthening its position in established brands and branded generics. The deal will also mark Sun Pharma’s entry into the biosimilars segment, positioning it among the top global players in this space, the Indian company said in a press release.
Following the completion of the transaction, the combined entity is expected to have a presence in 150 countries with a combined revenue of USD 12.4 billion. It is also projected to become a top-three company in global women’s health and the seventh-largest biosimilar player worldwide, while significantly enhancing its cash flow and earnings capacity.
The transaction has been approved by the boards of both companies and remains subject to regulatory approvals and approval by Organon shareholders.
Executive Chairman of Sun Pharma Dilip Shanghvi said the deal represented a significant opportunity for Sun Pharma to expand its global reach and build a more diversified platform, adding that Organon’s portfolio and capabilities were highly complementary and would support long-term growth.
Managing Director Kirti Ganorkar said the acquisition was a logical step in strengthening the company’s global business and that the combined entity would aim to ensure business continuity, disciplined integration, and value creation, while leveraging Organon’s talent and exploring potential revenue synergies in the coming years.
