MW Honeywell beefs up energy security offerings with $2 billion Sundyne deal

By Steve Gelsi

Conglomerate adds pump-maker business to its Energy and Sustainability Solutions $(ESS)$ unit

Honeywell International Inc. is buying Sundyne LLC for $2.2 billion in an effort to build up its Energy and Sustainability $(ESS.AU)$ business. It's the latest in a string of deals as the conglomerate prepares to break up.

Honeywell's stock fell 0.3% in premarket trading on Tuesday. The stock has fallen 6.1% in 2025, while the S&P 500 SPX has fallen 0.5%.

Sundyne, which is based in Arvada, Colo., has more than 1,000 employees and makes highly engineered pumps and compressors.

Honeywell $(HON)$ plans to use the business to broaden its products and services in the petrochemical, liquefied-natural-gas $(LNG)$ and clean and renewable fuel markets. Honeywell said the deal will also beef up its energy security offerings.

The Sundyne deal is part of an overall effort to "continue its portfolio transformation efforts to enhance the value proposition of its businesses," Honeywell said.

The Sundyne purchase marks the latest in a series of acquisitions by Honeywell, which has included parts of Air Products & Chemicals Inc., CAES Systems Holdings LLC, Carrier Global Corp.'s Global Access Solutions unit, Compressor Controls LLC and others.

All told, Honeywell has announced $9 billion in acquisitions since 2023, not including the Sundyne deal.

Honeywell is also moving ahead with plans to spin off its aerospace-technologies unit and its advanced-materials business into three publicly traded companies.

The effort comes after rival General Electric Co. broke itself up into GE Vernova Inc. $(GEV.AU)$ and GE HealthCare Technologies Inc. $(GEHC)$.

Honeywell said it expects the Sundyne acquisition would add to its adjusted earnings in its first year of ownership.

Honeywell is also selling its personal protective equipment unit in a deal expected to close in the first half of 2025.

"Honeywell remains on pace to exceed its commitment to deploy at least $25 billion toward high-return capital expenditures, dividends, opportunistic share purchases and accretive acquisitions through 2025," the company said.

Sundyne is currently a portfolio company controlled by affiliates of Warburg Pincus, the private-equity firm.

-Steve Gelsi

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March 04, 2025 08:30 ET (13:30 GMT)

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