Honeywell to split into three independent companies
February 7, 2025
Honeywell, one of the last remaining US industrial conglomerates, has announced plans to separate its Automation and Aerospace Technologies businesses, which alongside the spinoff its Advanced Materials business will see the creation of three separate companies.
“The formation of three independent industry-leading companies builds on the powerful foundation we have crated, positioning each to pursue tailored growth strategies and unlock significant value for shareholders and customers,” said Vimal Kapur, Chairman and CEO of Honeywell following the announcement of the split on Thursday 6 February.
The planned separation of Automation and Aerospace Technologies is expected to be completed in the second half of 2026. Thursday’s announcement follows a strategic review by Honeywell’s board, which had been evaluating options for the company since 2024.
Three independent companies
“Our simplification of Honeywell has rapidly advanced over the past year, and we will continue to shape our portfolio to create further shareholder value. We have a rich pipeline of strategic bolt-on acquisition targets, and we plan to continue deploying capital to further enhance each business as we prepare them to become leading, independent public companies,” continued Kapur.
With innovation at its core, the newly independent Honeywell Automation will create the buildings and industrial infrastructure of the future. Leveraging process technology, software and AI-enabled, autonomous solutions, the company aims to to drive the next generation of productivity, sustainability and safety for customers.
Kapur emphasised that as a standalone company with a simplified structure, Honeywell Automation will be better positioned “to capitalise on the global megatrends underpinning its business, from energy security and sustainability to digitalisation and artificial intelligence.”
Global leader in aviation technology
He added that Honeywell’s Aerospace division, which generated US$15 billion in annual revenue in 2024, is seeing unprecedented demand. “Now is the right time for the business to begin its own journey as a standalone, public company,” Kapur stated.
As an independent entity, Honeywell Aerospace will be one of the largest publicly traded aerospace suppliers, holding a leading position in aviation technology and systems. The company will continue to help shape the future of aviation through advancements in electrification, autonomy and next-generation aviation technologies.
Meanwhile, with its large-scale domestic manufacturing base for sustainability focused specialty chemicals and materials, Honeywell’s Advanced Materials business will benefit from a compelling investment profile and a more flexible and optimised capital allocation strategy.
With this latest transformation, Honeywell is positioning each of its three new companies to thrive independently, foster innovation and deliver long-term value to shareholders and customers worldwide.
