Sun Pharmaceutical Industries has struck a definitive agreement to acquire Organon & Co in an all-cash transaction that values the U.S.-listed company at about $11.75 billion. Under the terms announced, Organon shareholders will receive $14.00 per share in cash.
The Mumbai-based drugmaker said the purchase is aimed at expanding its global footprint and strengthening its offerings across branded generics, innovative medicines and biosimilars. Organon, a company focused on women's health and broader general medicines, will add a portfolio of more than 70 products and operations in over 140 markets to Sun Pharma's existing presence.
Organon was spun off from Merck in 2021. For 2025, Organon reported revenue of $6.2 billion and adjusted EBITDA of $1.9 billion, figures the companies cited in announcing the transaction.
Sun Pharma said the combined business would have pro forma revenue of about $12.4 billion, placing it among the top 25 global pharmaceutical companies by that metric. The company also indicated the acquisition would position the enlarged group as a top-three player in global women's health and as the seventh-largest biosimilars company.
Financing for the transaction is planned through a mix of cash on hand and committed bank financing, the company said. The boards of both companies have approved the deal. The transaction remains subject to regulatory approvals and Organon shareholder approval and is expected to close in early 2027.
The terms provided are narrowly defined in the transaction announcement: $14.00 per Organon share in cash and an aggregate valuation near $11.75 billion. No other financial terms, timelines beyond the expected close window, or additional operational details were included in the disclosure.
Market observers will watch the regulatory review and shareholder vote processes, which are explicit gating items for the deal to complete. Until those approvals are secured and financing is fully drawn, the transaction remains conditional on the steps outlined by the companies.
Summary of the deal:
- All-cash acquisition of Organon by Sun Pharmaceutical Industries for about $11.75 billion.
- Organon shareholders to receive $14.00 per share in cash.
- Combined pro forma revenue estimated at roughly $12.4 billion; Organon reported $6.2 billion revenue and $1.9 billion adjusted EBITDA for 2025.
- Transaction approved by both companies' boards and expected to close in early 2027, subject to regulatory and shareholder approvals.