Honeywell has announced that it has agreed to acquire Sundyne from private equity firm Warburg Pincus for $2.16 billion (€2 billion) in an all-cash transaction. This represents approximately 14.5x 2024 EBITDA on a tax-adjusted basis. Sundyne is a leader in the design, manufacturing and aftermarket support of highly-engineered pumps and gas compressors used in process industries. The addition of Sundyne’s differentiated equipment will enhance the ability of Honeywell’s Energy and Sustainability Solutions (ESS) business segment to drive innovation and efficiency, while supporting critical energy security needs across the world.
Sundyne’s deep customer relationships, best-in-class products and technology will unlock strategic growth potential for Honeywell UOP’s value chains in refining and petrochemicals, liquefied natural gas (LNG) and clean and renewable fuels. The combination will result in an improved product offering for customers as Honeywell Forge, a leading IoT platform, will enable the digitalisation of Sundyne’s equipment to enhance reliability and predictive maintenance. Utilising Honeywell’s advanced R&D capabilities, the combined company will also be able to further accelerate new product development in the pumps and compressors space.
Vimal Kapur, chairman and CEO of Honeywell says: ‘By combining Honeywell’s top-tier technology with Sundyne’s leading process industry solutions, this acquisition will further enhance our dynamic Honeywell UOP business and create strategic growth opportunities in attractive verticals. Sundyne’s vast installed base of top-of-the-line pumps and compressors will further strengthen Honeywell’s brand in the process industry and create significant opportunities for us to continue expanding our aftermarket services business.’
