trending Market Intelligence /marketintelligence/en/news-insights/trending/8I8Wo8e3hJ_smrWlwIfKjQ2 content esgSubNav
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us
In This List

Reuters: Honeywell plans to spin off noncore assets

Banking Essentials Newsletter December Edition Part 2

Banking Essentials Newsletter - November Edition

University Essentials | COVID-19 Economic Outlook in Banking: Rates and Long-Term Expectations: Q&A with the Experts

Estimating Credit Losses Under COVID-19 and the Post-Crisis Recovery

Reuters: Honeywell plans to spin off noncore assets

Honeywell International Inc. hopes to announce as early as the week of Oct. 9 a plan to spin off noncore assets and create at least two publicly listed companies, barring any delays, Reuters reported, citing people with knowledge of the plan.

Honeywell will not heed activist shareholder Third Point LLC's call to spin off its aerospace division, but it is said to consider placing its turbochargers business into one of the new companies, the sources who requested anonymity told Reuters. Honeywell's turbochargers business is currently part of its aerospace unit.

The sources did not disclose the other assets that Honeywell plans to carve out, but they said the spinoff plan would involve assets worth "several billions of dollars," according to the report.

Honeywell, which has a market capitalization of $109 billion, declined to comment.

The move would be the first major shakeup under CEO Darius Adamczyk, who succeeded David Cote in April. In September, the group said it would increase its annual dividend by 12%.

The group's businesses include energy-efficient products and solutions for homes, specialty chemicals, electronic and advanced materials, as well as sensing, safety and security technologies for buildings, homes and industries.

Its aerospace business, the biggest, also makes auxiliary power units and engines for aircraft manufactured by companies such as Bombardier Inc., Textron Inc. and General Dynamics Corp.