MAM
Penal provisions to ensure Govt ads only via DAVP
NEW DELHI: Penal provisions should be put in place to discourage Ministries and Government Departments from issuing display advertisements directly to the media without routing them through the Directorate of Advertising and Visual Publicity (DAVP).
Severely reprimanding this trend, the Standing Parliamentary Committee for Information Technology has said that this violates Clause-3 of the Advertisement Policy of the Government, which provides that all Central Govt. Ministries/ Departments/ Attached & Subordinate Offices/ Field Offices shall route their advertisements, including display advertisements, through DAVP.
The Committee noted that the Information and Broadcasting Ministry had time and again taken up the issue with the Ministries/Departments to route their advertisements through DAVP only to no avail.
The DAVP is the nodal multi media advertising central agency to execute publicity campaigns through advertisements etc. on behalf of various Ministries/Departments of Government of India, autonomous bodies and public sector undertakings.
It noted that the immediate fall out of such violation by the Ministries/Departments has resulted in small, medium and regional language newspapers not getting their due share. Many regional newspapers have been alleging favoritism by DAVP.
The Committee was also unhappy that total outstanding dues to DAVP from various Ministries/Departments of the Government of India is approximately Rs 630 million till 31 March this year.
The Committee have been informed that the Ministries/Departments pay their outstanding in the first quarter of the next financial year. Fresh outstanding also arise in the last quarter of the financial year, when the Letter of Authority issued by the Departments/Ministries lapses on 31 March. The Committee observed that the existing system of recovery of dues from Ministries/Departments is not prudent enough leading to huge amount of outstanding dues. Therefore, the Committee desire that DAVP should evolve a system whereby the Ministries/Departments may be asked to settle their dues within one month from the date of issue of letter of Intent.
Interestingly, the Committee was informed by the I&B Ministry that the Prime Minister’s office, the Planning Commission, and the Cabinet Secretariat etc. had been designated as non-paying departments and their expenditures were borne by the I&B Ministry.
Ministries and Departments are permitted to issue tender notices directly to empanelled newspapers only at DAVP rates. PSUs, Autonomous Bodies & Societies of the Central Government may issue all advertisements, directly at DAVP rates to empanelled newspapers, provided all classified and display advertisements are released in the following manner:
(In rupee terms)
Small 15% minimum
Medium 35% minimum
Big 50% maximum
English language 30% (approx.)
Hindi language 35% (approx.)
Regional and Other languages* 35% (approx.)
These include Bodo, Dogri, Garhwali, Kashmiri, Khasi, Konkani, Maithili, Manipuri, Mizo, Nepali, Rajasthani, Sanskrit, Santhali, Sindhi, Urdu and Tribal languages as certified by State Governments.
The Committee noted with satisfaction that there had been near 100% utilization of RE funds by DAVP during the Eleventh Plan. The Committee hoped that the same trend will continue during the Twelfth Plan.
| (Rs in million) | 2007-08 | 2008-09 | 2009-10 | 2010-11 | 2011-12 |
| Proposed Outlay | 282.5 |
228 |
59.3 |
530 |
545 |
| B. E. | 260.1 |
217.6 |
268.8 |
445 |
560 |
| R. E. | 184.1 |
481.8 |
368.8 |
445 |
887.9 |
| Actual | 184.1 |
481.9 |
368.1 |
328 |
757.7 |
| %age of expenditure | 100 |
100.02 |
99.81 |
73.89 |
85.34 |
Brands
Sun Pharma to acquire Organon in $11.75 billion deal at $14 per share
Acquisition to create $12.4 billion pharma giant with global scale and biosimilars push
MUMBAI: Sun Pharmaceutical Industries Limited has signed a definitive agreement to acquire Organon & Co. in an all-cash deal valued at $11.75 billion, marking one of the largest cross-border pharma acquisitions by an Indian firm.
Under the terms of the agreement, Organon shareholders will receive $14.00 per share in cash, with Sun Pharma set to acquire 100 per cent of the company’s outstanding shares. The transaction, approved by the boards of both companies, is expected to close in early 2027, subject to regulatory approvals and shareholder consent.
The deal significantly expands Sun Pharma’s global footprint and strengthens its position across women’s health, biosimilars, and branded generics. The combined entity is projected to generate revenues of around $12.4 billion, placing it among the top 25 pharmaceutical companies globally.
Organon, which was spun off from Merck in 2021, brings a portfolio of over 70 products spanning women’s health and general medicines, with operations across more than 140 countries. Its established presence in key markets such as the US, Europe, and China complements Sun Pharma’s existing strengths and growth ambitions.
Sun Pharmaceutical Industries Limited executive chairman Dilip Shanghvi 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.”
Sun Pharmaceutical Industries Limited managing director Kirti Ganorkar added, “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.”
From Organon’s side, Organon & Co. executive chair Carrie Cox noted, “This all-cash transaction offers compelling and immediate value to Organon stockholders, while positioning the business for continued growth under Sun Pharma.”
Strategically, the acquisition gives Sun Pharma entry into the global biosimilars space as a top 10 player and strengthens its innovative medicines portfolio, which is expected to contribute around 27 per cent of combined revenues. The deal is also expected to nearly double EBITDA and cash flow, supporting long-term deleveraging and investment capacity.
Sun Pharma plans to fund the acquisition through a mix of internal accruals and committed financing from global banks, while maintaining focus on disciplined integration and operational continuity post-merger.
If completed as planned, the deal signals a clear shift in India’s pharmaceutical ambitions, from scale at home to leadership on the global stage, with Sun Pharma positioning itself as a more diversified and innovation-led healthcare powerhouse.
