Sun Pharma is set to acquire Organon in a $11.75 billion deal, while IMG Pharma enters a definitive agreement to purchase Matsumoto, signaling continued global consolidation and portfolio expansion across the pharmaceutical industry.
Two pharma acquisitions were announced this week, with Sun Pharma entering a definitive agreement to acquire Organon in a deal worth $11.75 billion, and IMG Pharma set to acquire Matsumoto Pharmaceuticals.
The deals highlight continued consolidation and strategic repositioning across the global pharmaceutical landscape, as companies pursue scale, portfolio diversification, and expanded manufacturing and commercialization capabilities.
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Sun Pharmaceutical Industries and Organon & Co. have entered into a definitive agreement under which Sun Pharma is set to acquire all outstanding shares of Organon for $14.00 per share in cash, representing an enterprise value of $11.75 billion.1 The transaction was approved by both companies’ boards and is expected to close in early 2027 pending regulatory and shareholder approvals.1
The deal marks a significant step in Sun Pharma’s strategy to expand its Innovative Medicines business while also strengthening its position in established brands and branded generics. Organon, which was spun out of Merck in 2021, brings a broad portfolio of more than 70 products spanning women’s health, biosimilars, and general medicines, with a commercial footprint across 140 countries.
Dilip Shanghvi, executive chairman of Sun Pharma, said, “This transaction represents a significant opportunity for Sun Pharma to build on its vision of Reaching People and Touching Lives. 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.”
The combined company is expected to rank among the top 25 global pharmaceutical companies, with pro forma revenue of approximately $12.4 billion.1 The agreement also potentially positions Sun Pharma as a top-three player in women’s health and the seventh-largest biosimilars company globally, while expanding its presence to 150 countries.1
Kirti Ganorkar, managing director of Sun Pharma, emphasized integration priorities and growth potential. “This transaction is a logical next step in strengthening Sun Pharma’s global business. Together, we will become a partner of choice for acquiring and launching new products,” he said, noting anticipated synergies and revenue upside opportunities over time.
For Organon, the agreement provides immediate value to shareholders following a strategic review. “We believe Sun Pharma is well positioned to support Organon’s businesses, employees and patients globally,” said Carrie Cox, executive chair of Organon.
In a separate transaction, IMG Pharmaceutical, a subsidiary of IMG Japan, announced it will acquire Matsumoto Pharmaceutical, a long-established Japanese manufacturer with a strong over-the-counter (OTC) portfolio.
Founded in 1948, Matsumoto Pharmaceutical holds more than 50 drug approvals across multiple OTC categories and operates two manufacturing facilities in Japan’s Kansai region. Its portfolio spans digestive, respiratory, dermatological, and metabolic health products.2
The acquisition is aimed at integrating IMG Pharma’s research and translational capabilities with Matsumoto’s established manufacturing and commercialization infrastructure. IMG Pharma operates from Kobe, leveraging the Kobe Biomedical Innovation Cluster to advance research in areas such as stem cell-related technologies and bioactive compounds.
“This agreement is not only an important step in strengthening IMG Pharma’s pharmaceutical and product platform, but also reflects our broader approach to building a structured system that connects scientific innovation with real-world healthcare applications,” said Yuki Sakurai, CEO of IMG Pharma.
The combined platform is expected to support a more scalable model for developing and commercializing both pharmaceutical and health products, particularly in areas tied to long-term health management.2
