Honeywell has agreed to purchase aerospace and defense technology firm CAES Systems from Advent International for $1.9 billion in an all-cash deal. This acquisition, Honeywell’s second recent move to strengthen its aerospace technologies unit, aligns with the company’s focus on megatrends like automation, aviation, and energy transition.
Honeywell has been strategically investing in mergers and acquisitions to bolster high-performing segments while divesting units that don’t fit its growth strategy. The aerospace sector has particularly enhanced Honeywell’s performance due to increased demand for parts from major clients like Boeing and Airbus, driven by a surge in travel demand.
CAES, formerly known as Cobham Advanced Electronic Solutions, specializes in designing, developing, and testing advanced electronics such as antenna systems and communication networks for aerospace and defense applications. The acquisition underscores Honeywell’s commitment to expanding its capabilities in these critical areas.
Source: Reuters