Industrial giant Honeywell announced Tuesday that it has reached an agreement to acquire pump and gas compressor manufacturer Sundyne in a deal worth nearly $2.2 billion.
Colorado-based Sundyne, currently owned by private equity firm Warburg Pincus, offers fluid and gas handling solutions from its flagship brand as well as the Ansimag, HMD Kontro, Marelli, Sunflo and PPI names. Honeywell officials said that the move would bolster innovation, efficiency and energy security support in its Energy and Sustainability Solutions segment.
“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,” Honeywell Chairman and CEO Vimal Kapur said in the announcement. “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.”
The deal includes Sundyne locations across the globe, about 1,000 skilled employees, and “significant” aftermarket revenue from its installed base.
“The combination of Sundyne and Honeywell will add significant value for our customers, channel partners and employees — and we’re honored to join the Honeywell family,” said Sundyne CEO Mary Zappone.
The deal comes weeks after Honeywell announced a plan to spin off its aerospace technologies and advanced materials businesses, splitting the longtime conglomerate into three separate, publicly traded companies.
The Sundyne purchase is expected to be completed in the second quarter of the year, subject to approval from regulators and other closing conditions.