Honeywell sells face mask business in $1.3 billion cash deal
The deal is expected to close in the first half of 2025
Honeywell International Inc. agreed to sell its personal protective equipment unit for about $1.3 billion, the latest in a series of portfolio changes for the big manufacturer that’s facing calls from an activist to break up.
Protective Industrial Products Inc., a portfolio company of private equity firm Odyssey Investment Partners, will buy the Honeywell unit in an all-cash transaction, according to a statement Friday. The deal is expected to close in the first half of 2025. Honeywell said it would retain its gas detection operations within the Industrial Automation business.
Bloomberg News reported last month that Odyssey was in advanced talks to acquire the PPE division, which offers respiratory protection products, hearing aids, work boots and face masks.
The deal comes less than two weeks after Elliott Investment Management revealed a stake in Honeywell and called on the manufacturer to break apart. The activist firm criticised Honeywell’s financial results, saying it should separate into standalone companies focused on aerospace and automation.
Honeywell recently announced plans to spin off its advanced materials business. It has also made a number of acquisitions over the past year, including deals for Carrier Global Corp.’s security unit and Air Products and Chemicals Inc.’s liquefied natural gas process technology and equipment business.
Honeywell’s shares were little changed before regular trading Friday in New York. They have gained 7.8% this year through Thursday’s close.