Business
HONEYWELL ANNOUNCES LAUNCH OF HONEYWELL AEROSPACE'S OFFERING OF SENIOR NOTES IN CONNECTION WITH PLANNED SPIN-OFF
CHARLOTTE, N.C., March 6, 2026 /PRNewswire/ -- Honeywell (NASDAQ: HON) today announced that, in connection with the previously announced plan to spin-off (the
About this update from Honeywell International Inc.
[{"type":"text","content":"CHARLOTTE, N.C., March 6, 2026 /PRNewswire/ -- Honeywell (NASDAQ: HON) today announced that, in connection with the previously announced plan to spin-off (the \"Spin-Off\") Honeywell Aerospace Inc. (\"Aerospace\") from Honeywell, Aerospace has commenced a private offering of up to $16 billion aggregate principal amount of senior notes (the \"Notes\"). The precise size, timing and terms of the Notes offering are subject to market conditions and other factors.\n \n \n \n \n \n \n \nIn connection with the planned Spin-Off, which is expected to be completed in the third quarter of 2026, Aerospace has also entered into a five-year senior unsecured revolving credit facility in an aggregate committed amount of $3 billion and a 364-day senior unsecured revolving facility in an aggregate committed amount of $1 billion (collectively, the \"Revolving Credit Facilities\").The Notes are being offered as part of the financing for the planned Spin-Off. Aerospace intends to use the proceeds from the offering of certain series of the Notes (the \"New Money Notes\") to make a cash distribution to Honeywell prior to and in contemplation of the Spin-Off and to pay fees and expenses in connection with the Spin-Off, the Revolving Credit Facilities and the Notes offering and/or for general corporate purposes.Other series of the Notes (the \"Exchange Notes\") will initially be issued by Aerospace to Honeywell and are expected to be transferred and delivered by Honeywell to Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC and BofA Securities, Inc., as selling noteholders in the offering, in satisfaction of certain debt obligations under a credit facility previously entered into by Honeywell with affiliates of the selling noteholders. Aerospace will not receive any cash proceeds from the offering of the Exchange Notes.The Notes will be senior unsecured obligations of Aerospace and guaranteed on an unsecured senior basis by Honeywell until the Spin-Off is completed. Upon consummation of the Spin-Off, Honeywell will be automatically and unconditionally released from all obligations under its guarantees without any action taken by the holders of the Notes. The closing of the offering of the Notes is not contingent on the completion of the Spin-Off.The Notes and related guarantees have not been, and will not be, registered under the Securities Act of 1933, ...