Sun Pharma to Acquire Innovcare Lifesciences in ₹271 Cr All-Cash Deal

Sun Pharmaceutical Industries will acquire Mumbai-based Innovcare Lifesciences Private for about $28.7 million, or nearly ₹271.2 crore, in an all-cash deal. India's largest drugmaker said the move is aimed at strengthening its product portfolio.

In an exchange filing on June 20, Sun Pharma said it has signed an agreement to acquire 100% of Innovcare's outstanding shares. The transaction is expected to close on or before July 31, 2026. Sun Pharma described the acquisition as a "strategic investment to strengthen product portfolio of the Company."

Founded on July 21, 2014, Innovcare Lifesciences markets, distributes and sells pharmaceutical drugs, nutraceuticals and cosmeceutical products. The company operates only in India. Innovcare reported revenue from operations of ₹94.06 crore in FY26, up from ₹86.09 crore in FY25 and ₹80.93 crore in FY24.

Sun Pharma said the acquisition does not constitute a related-party transaction, adding that neither its promoters nor promoter group companies have any interest in Innovcare. The company also said no governmental or regulatory approvals are required for the deal, which will be paid for entirely in cash and will give Sun Pharma full ownership and control of Innovcare.

Organon Deal

The deal comes after Sun Pharma signed a definitive agreement in April to acquire Organon for about $11.75 billion, including debt, at $14 per share, a premium of more than 24% to Organon's pre-announcement trading price. That transaction is expected to close by December, pending regulatory approvals.

Once completed, the Organon deal will be Sun Pharma's largest international acquisition and is expected to expand its presence in biosimilars, women's health and other specialty medicines.

Speaking during the company's Q4 earnings call, Managing Director Kirti Ganorkar said the Organon acquisition is expected to accelerate Sun Pharma's transformation into a leading global pharmaceutical company. He added that the company's US innovative medicines business has crossed $1 billion in revenue, while international operations continue to grow.

According to a previous Bloomberg report, State Bank of India is preparing to join a group of global lenders financing Sun Pharma's Organon acquisition, valued at $12 billion. SBI is expected to commit as much as $1 billion, subject to board approval. If cleared, SBI will join international lenders including Citigroup, JPMorgan Chase & Co and Mitsubishi UFJ Financial Group in backing the transaction.