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14 min ago 2 min read
Honeywell is to launch Honeywell Technologies and Honeywell Aerospace which will become independent, publicly traded companies from 29 June when the US multinational spins off its aerospace business.
The automation business, operating as Honeywell Technologies, will continue to trade on Nasdaq (HON). The company aims to be “a global leader of the industrial world’s transition from automation to autonomy”, with a comprehensive portfolio of mission-critical, outcome-based technologies, solutions and software to drive customers’ productivity and growth. The aerospace business also will trade on Nasdaq (HONA) under Honeywell Aerospace.
The company claims it will be one of the largest publicly traded, pure-play aerospace suppliers, with leading positions in technology and systems that will continue delivering the future of aviation through increasing electrification and autonomous flight.
Vimal Kapur, Chairman and CEO of Honeywell, said today marks another defining moment in its transformation into two independent, focused companies.
“Drawing on Honeywell’s century-long legacy, these new brand identities honour our history while reflecting the bold vision and strategic focus that will define Honeywell Technologies and Honeywell Aerospace as standalone companies,” he said.
Honeywell is spinning off its aerospace division to dismantle its complex conglomerate structureand maximise long-term shareholder value.
Wall Street reaction is cautiously optimistic but notes execution risks. Analysts from firms like Bank of America have flagged concerns regarding Honeywell’s overall debt coverage, warning that the debt allocation between the two new entities will need to be carefully managed.
Honeywell will to US liquefied natural gas company NextDecade for Train 4 and Train 5 of its Rio Grande LNG project in Brownsville, Texas.
