Archive · 29 Sep 2026
Sun Pharma Plans ₹10,000 Crore Bonds to Refinance Organon Loan
Sun Pharmaceutical Industries wants to borrow money by selling bonds in India.
The planned amount is about ₹10,000 crore, or $1.04 billion.
The company would use some of the money to repay a temporary loan.
That bridge loan helped fund Sun Pharma’s purchase of Organon & Co.
The acquisition was worth $11.75 billion and was financed with a nearly $12 billion loan lasting 18 months.
The new bonds may last for two, three, or four years.
Banks say borrowing in dollars has become more expensive because United States interest rates are high.
More Indian companies are therefore looking to borrow in their own country.
Bankers expect corporate bond issuance in India to reach a record level this year.
Sun Pharmaceutical Industries plans to raise about ₹10,000 crore, or $1.04 billion, through rupee-denominated domestic bonds.
The funds would partly repay a nearly $12 billion, 18-month bridge loan used for Sun Pharma’s $11.75 billion acquisition of Organon & Co.
The proposed bonds are expected to mature in two, three, and four years.
State Bank of India was among the lenders participating in the bridge-loan financing, according to sources.
Indian companies are increasingly turning to domestic debt markets as higher United States Treasury yields make dollar borrowing more expensive.
- Who
- Sun Pharmaceutical Industries; State Bank of India was among the lenders involved in the earlier bridge loan.
- What
- A planned ₹10,000 crore, or $1.04 billion, domestic bond sale to partly refinance the bridge loan used for Sun Pharma’s acquisition of Organon & Co.
- When
- The plan was reported on Tuesday, after Sun Pharma closed syndication of the bridge loan earlier this year; additional rupee debt issues were expected over the following days.
- Where
- India’s domestic debt market.
- Why
- To partly repay acquisition financing while using domestic borrowing as higher United States Treasury yields make dollar-denominated funding more expensive.
- Planned fundraising
- About ₹10,000 crore, equivalent to approximately $1.04 billion
- Borrowing instrument
- Rupee-denominated domestic bonds
- Intended use
- Partial repayment of the bridge loan for the Organon acquisition
- Acquisition value
- $11.75 billion
- Bridge loan
- Nearly $12 billion with an 18-month maturity
- Proposed bond maturities
- Two, three, and four years
- Market outlook
- Bankers expect domestic corporate debt issuance in India to reach a record level this year
