The drugmaker is expected to issue bonds with maturities of two, three and four years to replace part of a bridge loan of nearly $12 billion.
Mumbai: Sun Pharmaceutical Industries is planning to raise about Rs 10,000 crore ($1.04 billion) through a sale of rupee-denominated bonds, using the money partly to take out a bridge loan it raised to acquire US healthcare company Organon & Co, Reuters reported on Tuesday, citing people familiar with the matter.
The company, which is India’s largest drugmaker by market capitalisation, will offer bonds of relatively short duration, with tenors of two, three and four years, according to the sources.
Earlier this year, Sun Pharma completed the syndication of an 18-month bridge facility of close to $12 billion to fund the Organon purchase, the report said. State Bank of India was among the lenders that took part in that syndication, according to the report.
The fundraising comes as more Indian companies turn to the local debt market. Bankers expect total domestic corporate bond issuance this year to reach a record, since higher US yields have made borrowing in dollars more expensive and are nudging firms towards rupee funding, the report said.
The 10-year US Treasury yield is hovering near its highest level since mid-June 2007, which has raised borrowing costs around the world, according to the report. Indian companies are also trying to secure funding costs before a possible increase in interest rates by the Reserve Bank of India, the report added.
Around $3 billion worth of rupee debt issues are lined up over the next few days, Reuters reported. The Sun Pharma bonds, if launched as planned, would add a sizeable pharmaceutical borrower to that pipeline of domestic corporate issues, which bankers expect to set a new annual high.
Source: Reuters via Business Standard, 29 September 2026
