Press release
HONEYWELL TO ACQUIRE COMPRESSOR CONTROLS CORPORATION, DRIVING THE ENERGY TRANSITION THROUGH LEADING AUTOMATION AND CONTROLS PORTFOLIO
Compressor Control Corporation technologies combined with Honeywell's Forge offering to deliver the most comprehensive Asset Performance Management capability
About this update from Honeywell International Inc.
[{"type":"text","content":"Compressor Control Corporation technologies combined with Honeywell's Forge offering to deliver the most comprehensive Asset Performance Management capability in the industryCombined installed base with Honeywell Process Solutions creates the world's largest operating fleet of critical process machineryNew carbon capture, utilization, and sequestration solutions further Honeywell's high growth sustainability portfolioAcquisition price of $670 million, representing ~15x 2023E EBITDA on a tax adjusted basis; Expected to be immediately accretive to GAAP EPS and achieve ~15% cash-basis return on investment in fifth year post-closingCHARLOTTE, N.C., April 26, 2023 /PRNewswire/ -- Honeywell (Nasdaq: HON) today announced it has agreed to acquire Compressor Controls Corporation (CCC) from INDICOR, LLC, which is owned by funds affiliated with private equity firm Clayton, Dubilier & Rice, LLC and Roper Technologies, Inc., for $670 million, which represents ~15x 2023E EBITDA on a tax adjusted basis, in an all-cash transaction. CCC is a leading provider of turbomachinery control and optimization solutions, including control hardware, software and services, and primarily serves the LNG, gas processing, refining and petrochemical segments.\n\n \n \n \n \n \n \n\n \nCCC's EBITDA margins are accretive to Honeywell, and Honeywell is expected to achieve a cash-basis return on investment of more than 15% by the fifth year that CCC is part of Honeywell. \nThe acquisition will be integrated into Honeywell's Process Solutions business and will strengthen Honeywell's leadership in industrial control, automation and process solutions, enabling customers to accelerate their energy transition.\nThe acquisition also bolsters Honeywell's high growth sustainability portfolio with new carbon capture control solutions, where the same turbomachinery is used to achieve effective removal of CO2 from process plant emissions, and even from the Earth's atmosphere.\n\"Compressor Control Corporation is an ideal complement to our process solutions portfolio, as it brings an installed base of greater than 14,000 control applications to our portfolio and will enable us to accelerate growth in combination with Forge's industry leading APM capability,\" said Lucian Boldea, president and chief executive officer of Honeywell Performance Materials and Technologies. \"By enha...