Honeywell International Inc. (HON, Financial), a leading industrial conglomerate, has agreed to acquire the catalyst technology division of Johnson Matthey, a UK-based platinum refiner, for £1.8 billion (approximately $2.42 billion). This strategic acquisition is expected to bolster Honeywell's capabilities in catalyst technology.
Johnson Matthey anticipates net sales proceeds of around £1.6 billion from the transaction. Following the sale, the company plans to focus its efforts on its Clean Air and platinum group metals businesses. This shift in focus is part of Johnson Matthey's strategy to streamline its operations and concentrate on core areas.
In its latest financial report for the fiscal year ending March 31, Johnson Matthey reported revenues of £11.67 billion, marking a 9% decline from the previous year. However, operating profit increased from £249 million to £538 million, and pre-tax profit rose from £164 million to £486 million, reflecting improved operational efficiency.
