India’s largest pharmaceutical company, Sun Pharmaceutical Industries Ltd, is once again in the spotlight amid reports of an unconfirmed move to acquire Organon & Co., a U.S.-based pharmaceutical company focused on women’s health, biosimilars, and established medicines.

Media reports this week suggested that Sun Pharma is in discussions with lenders to arrange financing for the acquisition and has submitted non-binding bids, which could value Organon at over $10 billion. Sun Pharma, however, told stock exchanges that the reports were “speculative”.

“We don’t have anything further to say, other than what we informed the stock exchanges,” a company spokesperson said.

Sun Pharma's acquisitions

If the transaction materialises, it would be Sun Pharma’s largest-ever acquisition, surpassing the $4 billion purchase of Ranbaxy Laboratories in March 2015. Over the years, Sun Pharma has completed nearly 20 acquisitions, helping it scale to a turnover of over ₹52,000 crore by FY25.

“First of all, the acquisition opportunity needs to be strategic, and at the same time, it should not be a short-term bet but one that helps us grow over the long term. Another key question is whether we can run that business better than the current owners,” Dilip Shanghvi, Chairman and Founder of Sun Pharma, told Fortune India in a recent exclusive interaction.

Shanghvi also noted that Sun Pharma sees significant headroom for growth in the U.S., where the company currently ranks as the 12th-largest generic drug player.

Industry sources say that an acquisition of Organon could be a long-term strategic asset for Sun Pharma, accelerating growth in its U.S. business and strengthening its global portfolio in women’s health and biosimilars.

Currently, Sun Pharma’s revenue mix comprises 34% from India-branded generics, 29% from US formulations, 19% from emerging markets such as Brazil and Mexico, 14% from the rest of the world, and about 4% from bulk drug sales. In the U.S., Sun’s strategy is focused on complex generics and specialty branded products with high entry barriers.

Organon’s flagship product is Nexplanon, a long-acting hormonal birth control implant that prevents pregnancy for up to three years. Nexplanon is the company’s top women’s health product, generating close to or above $900 million in annual sales. 

Other key products include: NuvaRing (contraception), Puregon (fertility), Nasonex (respiratory drug),  Vytorin (cardiovascular), Maxalt (pain management), and Biosimilars such as Hadlima, Renflexis, and oncology therapy Ontruzant.

Organon financials

Organon reported sales of $6.4 billion in 2024 and has guided for $6.2 billion in revenue in 2025. However, the company carries a substantial debt burden of around $8.83 billion as of September 2025.

Organon was earlier part of Merck & Co. (known as MSD outside the U.S.) and was spun off into a separately listed entity as part of Merck’s strategy to sharpen its focus on core innovative medicines.