Honeywell has announced an agreement to acquire Sundyne, a leading manufacturer of high-performance pumps and gas compressors, from private equity firm Warburg Pincus for $2.16 billion in an all-cash deal. This acquisition is valued at approximately 14.5 times Sundyne’s projected 2024 EBITDA, on a tax-adjusted basis. Sundyne’s specialized equipment will enhance Honeywell’s Energy and Sustainability Solutions (ESS) division, bolstering its efforts to innovate and support global energy security.
Sundyne’s advanced products and strong customer relationships will create growth opportunities for Honeywell UOP, particularly in refining, petrochemicals, liquefied natural gas (LNG), and clean energy sectors. By integrating Sundyne’s offerings with Honeywell Forge, a leading Internet of Things (IoT) platform, the combined company will enable digitalization of Sundyne’s equipment, improving reliability and predictive maintenance.
“This acquisition combines Honeywell’s cutting-edge technology with Sundyne’s expertise in process industry solutions, enhancing our Honeywell UOP business and creating opportunities for growth in key markets,” said Vimal Kapur, Chairman and CEO of Honeywell. “Sundyne’s extensive installed base of pumps and compressors will strengthen our presence in the process industry and provide further opportunities to expand our aftermarket services.”
Sundyne, headquartered in Arvada, Colorado, employs approximately 1,000 skilled workers and generates steady revenue from its global installed base. The integration is expected to create significant synergies with Honeywell UOP’s process licensing, modular capabilities, and sales network.
“By combining Sundyne’s product portfolio with our Honeywell Forge process automation capabilities, we can offer customers a more complete set of solutions to address their evolving needs,” said Ken West, President and CEO of Honeywell ESS.
Warburg Pincus Managing Director Dan Zamlong commented, “Sundyne has successfully diversified its markets and invested in innovative products, positioning the company for sustainable growth. This acquisition will provide great value for customers and employees.” Mary Zappone, CEO of Sundyne, added, “Joining Honeywell will allow us to accelerate growth and improve efficiency, bringing significant benefits to our customers and partners.”
The deal is expected to contribute to Honeywell’s growth, margin expansion, and adjusted earnings per share in the first full year following the acquisition. This acquisition follows Honeywell’s recent announcements about the planned separation of its Aerospace Technologies business and spin-off of Advanced Materials.
These efforts are part of Honeywell’s broader strategy to simplify its portfolio and drive organic growth, including a series of strategic acquisitions worth approximately $9 billion since December 2023. Honeywell anticipates the Sundyne acquisition to close by the second quarter of 2025, pending regulatory approvals and other customary closing conditions.
Honeywell is a global technology company focused on automation, aviation, and energy transition, helping organizations solve complex challenges with innovative solutions. Its business segments—Aerospace Technologies, Industrial Automation, Building Automation, and Energy and Sustainability Solutions—provide products and services that make the world safer, smarter, and more sustainable.
