Mergers have both positive and negative impacts on any industry. The wealth of Indian pharmaceutical industry may be triggered positively or negatively by any merger or acquisition. Innovation, research and development costs are very important in the pharmaceutical industry. In modern days, pharmaceutical companies are requiring a large amount of mergers and collaborations to survive. To compete with global competitiveness, to gain the benefit of economies of scale, expanded product portfolios through research and development companies are trying for merger. In this study Sun pharmaceutical and Ranbaxy merger is studied I terms of networth in pre and post- merger situation. Study shows significant impact of merger in networth of the companies.