Sun Pharma Eyes $10 Billion Organon Acquisition to Boost US Presence

• Sun Pharma, India's largest drugmaker, is reportedly considering a $10 billion acquisition of US-based Organon, a women's health and biosimilars specialist.
• This potential deal, including debt, would be the largest cross-border acquisition by an Indian pharmaceutical company and significantly enhance Sun Pharma's US market presence.
• Organon, spun out of Merck in 2021, has a market capitalization of $2.28 billion and has been exploring asset sales to reduce its $8.9 billion debt.
• Previous talks stalled over valuation, but Sun Pharma re-entered discussions after Organon's share price declined sharply amid sales malpractice reports and CEO change.
• The acquisition would mark Sun Pharma's most ambitious takeover yet, following its 2014 Ranbaxy acquisition and recent deals for Checkpoint Therapeutics and Concert Pharmaceuticals.

Why It Matters: Sun Pharma is weighing a $10 billion Organon acquisition to significantly expand its footprint in the US market.