Sun Pharma Explores Funding Mix for $12 Billion Organon Deal

Global lenders to Sun Pharmaceutical Industries Ltd. are weighing multiple financing options for its proposed $12 billion acquisition of New York-listed healthcare company Organon & Co., according to people familiar with the matter.

The Indian drugmaker is considering seeking consent from Organon bondholders to swap their holdings into Sun Pharma debt, the people said, asking not to be identified discussing private matters. It is also working on a potential euro-denominated bond that could carry a credit rating one to two notches higher than the one assigned to Organon before the proposed merger, they added.

Separately, the company is planning ...