Honeywell Completes Acquisition Of Carrier’s Global Access Solutions Business

Acquisition positions Honeywell as a leading provider of security solutions in a digital age and enhances its building automation segment.

CHARLOTTE, N.C. Honeywell today announced the completion of its acquisition of Carrier Global Corporation’s Global Access Solutions business for $4.95 billion, culminating a process that started with the announcement of an agreement in December 2023.

The deal “positions Honeywell as a leading provider of security solutions for the digital age with opportunities for accelerated innovation in the fast-growing, cloud-based services and solutions space,” according to the company announcement.

This transaction “also strengthens Honeywell’s alignment of its portfolio around three compelling megatrends, including automation, and complements Honeywell’s Building Automation segment,” the announcement says.

The acquisition “brings differentiated software capabilities through the addition of three respected brands to Honeywell’s portfolio: LenelS2, a leader in commercial and enterprise access solutions; Onity, which offers electronic locks, specifically hospitality access and mobile credentials; and Supra, which specializes in cloud-based electronic lockboxes and scheduling software,” according to the announcement.

Global Access Solutions’ approximately 1,200 employees are now part of Honeywell. The transaction is expected to be adjusted earnings per share accretive in the first full year of ownership, according to the company announcement.

Why Honeywell Added Carrier’s Global Access Solutions

Global Access Solutions “enhances Honeywell’s Building Automation business model of leading with high-value products that are critical for buildings,” according to the announcement.

Honeywell “will also benefit from the business’s attractive growth and margin profile, valuable software content and accretive mix of recurring revenue,” the announcement says, with forecasted annual sales in excess of $1 billion when combined with Honeywell’s existing security portfolio.

“As the world’s security needs evolve from a focus on protecting people to protecting both people and critical assets, we see strong growth prospects for our Access Solutions acquisition,” says Vimal Kapur, chief executive officer of Honeywell, in the announcement.

“By building on our strong track record of delivering high-value building automation products, solutions, and services globally, this acquisition creates an exciting opportunity for us to achieve faster growth and further margin expansion, while generating better outcomes for our Building Automation customers,” he says.

The announcement of the Carrier deal came during Honeywell’s quarterly call with investors and analysts covering the first quarter of 2024.

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