US industrial tech firm Honeywell has agreed to acquire UK chemicals-and-tech business Johnson Matthey’s Catalyst Technologies business for £1.8bn ($2.4bn). The deal will expand its proposition in hydrogen, ammonia, and sustainable aviation fuel (SAF).
The acquisition is a fit with Honeywell’s UOP unit, which will strengthen its position in lower-emission fuels once the deal completes. For the first time, the company will be able to offer solutions to produce sustainable methanol, SAF, blue hydrogen, and blue ammonia.
Vimal Kapur, Chairman and CEO of Honeywell, said buying these catalyst technologies broadens Honeywell’s role as a technology provider of energy needed to drive growth into the future.
“As demand for diversified sources of energy continues accelerating, it will better enable Honeywell to offer the innovation our customers need,” he added.
Honeywell recently set out plans to spin off its Aerospace Technologies and its Advanced Materials divisions, as well as divesting its personal protective equipment business, which is a deal that is expected to close in Q2 2025.
The company is taking on a different shape through its M&A moves. Since December 2023, Honeywell has invested around $11bn in acquisitions, including Air Products’ LNG business and Sundyne’s pumps and compressors division. It all goes towards an effort to become more vertically integrated.
The acquisition of the Johnson Matthey business segment is expected to close in the first half of 2026 and should contribute to earnings in its first year.
The catalyst business was one of four core divisions at the UK firm, with the company now having a strengthened focus on the remaining three, including platinum group metals processing.
