Honeywell set to acquire Air Products and Chemicals
Tech and industrial conglomerate Honeywell has confirmed it will buy APD's liquefied natural gas (LNG) process technology and equipment business for $1.81 billion in cash.
Pennsylvania-based Air Products specialises in the production of atmospheric, process and speciality gases for customers in various industries, including refining, chemical, manufacturing, electronics, energy production, medical, food and metals.
Honeywell says APD's in-house design and manufacturing of coil-wound heat exchangers and related equipment portfolio will boost its energy transition portfolio. It says this will give customers a holistic offering that will encompass natural gas pre-treatment and state-of-the-art liquefaction.
"While the world continues to build the renewables-based energy infrastructure of the future, natural gas is a critical lower-emission and affordable transition fuel that will help meet ever-increasing and dynamic global energy demands," said Vimal Kapur, Chairman and CEO of Honeywell, in a press release.
"This highly complementary acquisition will further strengthen our energy transition portfolio, and Air Products' CWHE technology will immediately expand our installed base - creating new opportunities to compound growth in aftermarket services and digitalization through our Honeywell Forge platform."
The deal marks Honeywell’s fourth acquisition announcement so far this year. In June 2024, it acquired CAES Systems Holdings LLC from private equity firm Advent International for about USD 1.9 billion in cash.
