Honeywell to buy Compressor Controls Corp. in $670M deal
Honeywell is buying CCC, which provides turbomachinery control and optimization with a focus on the oil and gas industry.
Honeywell International Inc., (NASDAQ:HON), announced today that it would buy Compressor Controls Corp. of Iowa for $670 million.
CCC is a Des Moines-based company that specializes in turbomachinery optimization and control. Its focus is on the oil and natural gas industries. It serves primarily the liquified gas, gas-processing, refining, and petrochemical industries. It was founded in 1974 and has approximately 280 employees.
Honeywell announced in a press release that it would integrate CCC within its Process Solutions division, which will strengthen the company's position in industrial control, process automation, and process solutions. The company said that this will help customers accelerate their energy transition.
Honeywell says the acquisition will boost its "high-growth sustainability portfolio" with new carbon capture and control solutions.
The transaction is expected to close by the end of this year. Honeywell will purchase CCC from Indicor LLC, owned by funds affiliated to private equity firm Clayton, Dubilier & Rice, and Roper Technologies Inc., in an all cash transaction.
Honeywell, with its headquarters in Charlotte, moved from New Jersey to Charlotte in 2019.
Vimal Kapur, the current Chief Operating officer of the company, will replace Darius Adamczyk as CEO this year. Adamczyk then becomes executive chairman of Honeywell's board until at least the end of April 2024.
CBJ reported that he would focus his attention on Honeywell acquisitions.
The pipeline is in good shape. He said that we are about as active as in the past two years. We're going to continue shaping our portfolio by adding businesses that are quality and fit with the megatrends.
Honeywell will report its first quarter earnings tomorrow.