Sun Pharma to acquire Organon in $11.75bn deal, strengthening global women's health platform
Organon has one of the largest dedicated women's health portfolios globally
Sun Pharmaceutical Industries has agreed to acquire Organon in an all-cash deal valuing the women’s health-focused pharmaceutical company at $11.75 billion, in one of the largest transactions in the sector in recent years.
Under the terms of the agreement, India’s Sun Pharma will acquire all outstanding shares of Organon for $14.00 per share, with the transaction expected to close in early 2027, subject to regulatory and shareholder approvals.
Organon, which was spun out of Merck in 2021, has built one of the largest dedicated women’s health portfolios globally, with more than 70 products spanning contraception, fertility and menopause, alongside a broader established medicines and biosimilars business. The company operates in over 140 countries.
The acquisition will position the combined business among the top 25 pharmaceutical companies globally by revenue, while creating what Sun Pharma describes as a top-three player in women’s health.
For Sun Pharma, the deal represents a significant expansion into women’s health and biosimilars, as well as strengthening its position in branded generics and established medicines, and providing it with a more global footprint.
Dilip Shanghvi, Executive Chairman of Sun Pharma, said,
“Organon’s portfolio, capabilities and global reach are highly complementary to our own, and we believe that bringing the two organizations together can create a stronger and more diversified platform.
“We have deep respect for Organon’s mission and look forward to building on its legacy while driving sustainable long‑term growth.”
Organon’s leadership said the deal followed a strategic review of options and would deliver immediate value to shareholders, while enabling continued expansion of its women’s health offering under new ownership.
Carrie Cox, Executive Chair of Organon, commented,
“Following a comprehensive review of strategic alternatives, our Board determined that this all‑cash transaction offers compelling and immediate value to Organon stockholders.
“We believe Sun Pharma is well positioned to support Organon’s businesses, employees and patients globally, and to further advance our commitment to delivering impactful medicines and solutions.”
The acquisition comes at a time of growing investment and attention in women’s health, but also ongoing questions around scale, sustainability and ownership of the category. Since its spinout, Organon has been one of the few large pharmaceutical companies with a dedicated focus on women’s health, positioning itself around conditions that uniquely, disproportionately or differently affect women.
The deal is a positive signal that large pharmaceutical players want to consolidate and build scale in women’s health - a category that has historically been fragmented and underfunded relative to other areas of healthcare.
Following completion, the combined company is expected to have a presence in more than 150 countries and a significantly expanded commercial platform across both developed and emerging markets.
Combined revenues for the two companies is expected to exceed $12.4b.
The deal follows last year’s failed acquisition of Mayne Pharma by Cosette for a proposed $425m following regulatory pushback.