Honeywell to acquire PE-owned Sundyne for $2.16bn

May 2025 | DEALFRONT | PRIVATE EQUITY & VENTURE CAPITAL

Financier Worldwide Magazine

May 2025 Issue

Expanding its critical equipment portfolio, US multinational conglomerate corporation Honeywell International has acquired pump maker Sundyne from private equity firm Warburg Pincus in an all-cash transaction valued at $2.16bn.

The addition of Sundyne’s differentiated equipment will enhance the ability of Honeywell’s energy and sustainability solutions (ESS) business segment to drive innovation and efficiency, while supporting critical energy security needs across the world.

Honeywell expects Sundyne’s deep customer relationships, best-in-class products and technology to unlock strategic growth potential for Honeywell UOP’s value chains in refining and petrochemicals, liquefied natural gas, and clean and renewable fuels.

“Through the integration of Sundyne’s differentiated suite of products and equipment, combined with the process automation capabilities of our Honeywell Forge technology, we will be able to offer our customers a more comprehensive portfolio of solutions to meet their evolving needs,” said Ken West, president and chief executive of Honeywell’s ESS segment.

The combination will result in an improved product offering for Honeywell customers as its internet of things platform Honeywell Forge will enable the digitalisation of Sundyne’s equipment to enhance reliability and predictive maintenance. Utilising Honeywell’s advanced research and development capabilities, the combined company will also accelerate new product development in the pumps and compressors space.

“By combining Honeywell’s top-tier technology with Sundyne’s leading process industry solutions, this acquisition will further enhance our business and create strategic growth opportunities in attractive verticals,” said Vimal Kapur, chairman and chief executive of Honeywell. “Sundyne’s vast installed base of top-of-the-line pumps and compressors will further strengthen Honeywell’s brand in the process industry and create significant opportunities for us to continue expanding our aftermarket services business.”

An integrated operating company serving a broad range of industries and geographies around the world, Honeywell’s business is aligned with three powerful megatrends – automation, the future of aviation and energy transition – underpinned by its Honeywell Accelerator operating system and Honeywell Forge IoT platform.

The acquisition of Sundyne follows Honeywell’s recent announcement of the planned separation of its aerospace technologies business along with the previously announced spin of advanced materials, which will result in three publicly listed industry leaders with distinct strategies and growth drivers.

Throughout the planned separation process, Honeywell intends to continue its portfolio transformation efforts to enhance the value proposition of its businesses.

“We are incredibly proud to have partnered with the talented leadership team at Sundyne over the past five years,” said Dan Zamlong, managing director at Warburg Pincus. “Sundyne’s focus on diversifying its end markets, investing in innovative products and optimising its operations has set a solid foundation for sustained, above-market growth.”

Headquartered in Arvada, Colorado with additional locations around the globe, Sundyne has approximately 1000 skilled employees and a significant recurring aftermarket revenue generated from an extensive installed base.

Honeywell’s acquisition of Sundyne is expected to close in the second quarter of 2025, subject to customary closing conditions, including receipt of certain regulatory approvals.

“The combination of Sundyne and Honeywell will add significant value for our customers, channel partners and employees,” concluded Mary Zappone, chief executive of Sundyne. “There are numerous benefits that we can achieve together with Honeywell that will accelerate growth and improve efficiency for customers.”

Fraser Tennant