Sun Pharmaceutical Industries, India’s largest drugmaker, is reportedly exploring a possible $10 billion acquisition of US-based pharmaceutical company Organon & Co, according to media reports. If the deal goes through, it would be one of the biggest overseas acquisitions ever made by an Indian pharmaceutical company and could significantly boost Sun Pharma’s presence in the United States.
Organon is a global pharmaceutical firm that focuses mainly on women’s health medicines, including treatments for fertility, contraception, and menopause. It also has a growing business in biosimilars, which are lower-cost versions of complex biological drugs. The company was created in 2021 after being separated from Merck (MSD) and carries a large debt of around $9.5 billion.
Reports suggest Sun Pharma has appointed a European financial advisor to study the deal and assess its feasibility. The estimated value of $10 billion includes Organon’s existing debt. Industry observers say Organon’s product portfolio and strong presence in the US market could fit well with Sun Pharma’s long-term growth plans, especially in specialty medicines and biosimilars.
If completed, the acquisition would be larger than Sun Pharma’s 2014 purchase of Ranbaxy Laboratories and could help the company expand faster in the highly competitive US pharmaceutical market. Analysts believe the deal could give Sun Pharma access to new therapies, a wider customer base, and a stronger global footprint.
However, Sun Pharma has clarified that the reports are “speculative in nature.” In a statement to stock exchanges, the company said there is no material information to disclose at this stage and that it follows strict regulatory guidelines. It added that any confirmed development will be shared with investors as required by law.
Organon has not made any public comment on the reported talks.
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