In a significant move that further strengthens its position in the global energy transition, Honeywell announced the completion of its acquisition of Air Products’ liquefied natural gas (LNG) process technology and equipment business for $1.81 billion in an all-cash transaction. The deal, finalized on September 30, 2024, bolsters Honeywell’s comprehensive suite of energy solutions and solidifies its role in enabling more efficient management of liquefied natural gas assets.
With this acquisition, Honeywell enhances its energy transition portfolio, adding a range of capabilities from natural gas pre-treatment to advanced liquefaction and digital automation. The integration of Air Products’ coil-wound heat exchangers (CWHE) technology into Honeywell’s offering will give customers access to an unprecedented full-service solution. The suite now operates under Honeywell’s Forge and Experion platforms, promising greater operational efficiency and reliability for managing LNG assets.
Ken West, President and CEO of Honeywell’s Energy and Sustainability Solutions (ESS) segment, emphasized the significance of the acquisition: “The acquisition of Air Products’ LNG process technology and equipment business strengthens Honeywell’s energy transition portfolio and will enable our customers to manage their liquefied natural gas assets with greater efficiency and reliability. With the integration of the LNG business, we will be able to provide a greater level of energy transition management from beginning to end through a full spectrum of scalable solutions.”
This acquisition marks Honeywell’s fourth of 2024, reflecting the company’s disciplined capital deployment strategy focused on high-return investments. Honeywell has been strategically expanding its portfolio, targeting key areas aligned with three overarching megatrends: automation, the future of aviation, and energy transition. In August 2024, Honeywell also completed its acquisition of CAES, further strengthening its defense technology solutions across various domains, including land, sea, air, and space.
Honeywell’s broad business operations span across Aerospace Technologies, Industrial Automation, Building Automation, and Energy and Sustainability Solutions. The company leverages its Honeywell Accelerator operating system and Honeywell Forge IoT platform to offer advanced solutions that help industries tackle complex global challenges. From automating processes to driving sustainability initiatives, Honeywell remains at the forefront of innovation, continuously evolving to meet the demands of a rapidly changing world.
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