Sun Pharma receives Organon shareholder approval for US$11.75B acquisition

INDIA—Sun Pharmaceutical Industries (Sun Pharma) has announced that Organon & Co. shareholders have approved proposals related to the previously announced acquisition of the US-based healthcare company.

The approval represents a key step towards completing the transaction, which will see Organon become a wholly owned subsidiary of Sun Pharmaceutical Holdings USA, Inc., an indirect wholly owned subsidiary of Sun Pharma.

Shareholder approval clears key transaction milestone

Sun Pharma disclosed the development in an exchange filing, confirming that Organon stockholders had voted in favour of the proposals required to advance the proposed merger transaction.

The approval allows the companies to move forward with the remaining steps required to complete the acquisition.

However, Sun Pharma said the transaction remains subject to the fulfillment of customary closing conditions.

These include obtaining applicable regulatory approvals and satisfying other conditions required before the deal can be completed.

The proposed acquisition, announced in April 2026, will give Sun Pharma ownership of all outstanding shares of Organon through an all-cash transaction.

Under the definitive agreement signed by the two companies, Sun Pharma will pay US$14 per share to acquire Organon, based on an enterprise value of US$11.75 billion.

The deal is expected to significantly expand Sun Pharma’s global pharmaceutical operations and strengthen its position across established brands and branded generic medicines.

Deal to expand Sun Pharma’s global pharmaceutical footprint

Organon operates as a global healthcare company with a portfolio spanning women’s health, biosimilars and established medicines.

The company was created in 2021 through a spinoff from Merck & Co., known as MSD outside the United States and Canada.

Since its formation, Organon has focused on expanding access to medicines across a range of therapeutic areas while building a portfolio of established pharmaceutical products.

The company operates internationally and serves patients in multiple markets through its branded and generic medicines portfolio.

For Sun Pharma, the proposed acquisition would add Organon’s portfolio and global commercial presence to its existing operations.

The Indian pharmaceutical company has a broad international footprint and markets medicines across several therapeutic areas, including specialty medicines, generics and consumer healthcare products.

The transaction would also strengthen Sun Pharma’s presence in developed pharmaceutical markets and provide access to Organon’s established brands and commercial infrastructure.

Combined revenue expected to reach US$12.4B

If the transaction closes successfully, Sun Pharma expects the combined business to generate annual revenue of approximately US$12.4 billion.

The acquisition would also position the Indian pharmaceutical company among the world’s 25 largest pharmaceutical companies by revenue.

The combined group is expected to become a significant player in the established brands and branded generics segments, bringing together Sun Pharma’s existing portfolio with Organon’s range of established medicines.

Nevertheless, the transaction still requires completing the remaining closing requirements before Sun Pharma can formally take ownership of Organon.

The companies must therefore secure the necessary regulatory clearances and meet other customary conditions associated with the acquisition.

The shareholder approval marks the latest development in the proposed transaction and moves the two companies closer to completing the US$11.75 billion deal.