Deal seen accretive to adj EPS in first full yr ownership (Il Sole 24 Ore Radiocor) - New York , 10 Jul - The US industrial conglomerate Honeywell has agreed to acquired the liquefied natural gas (LNG) process technology and equipment business from Air Products for 1.81 billion dollars in an all cash transaction, the two companies said.

The transaction price represents about 13x estimated 2024 EBITDA.

'While the world continues to build the renewables-based energy infrastructure of the future, natural gas is a critical lower-emission and affordable transition fuel that will help meet ever-increasing and dynamic global energy demands,' said Vimal Kapur, chairman and CEO of Honeywell.

Air Products' LNG Business has approximately 475 employees with headquarters in Allentown, Pennsylvania and a 390,000-square-foot manufacturing facility in Port Manatee, Florida, where all sizes of coil-wound heat exchangers (CWHEs) are made. According to the two companies, "CWHEs provide the highest throughput of natural gas in a single exchanger with a small footprint and robust, reliable and safe operations both onshore and offshore". Honeywell expects the deal to be adjusted earnings per share accretive in the first full year of ownership. The transaction is not subject to any financing conditions and is expected to close before the end of the calendar year, subject to regulatory approvals and other customary closing conditions.

AAA-Hob

(RADIOCOR) 10-07-24 13:31:05 (0320) 5 NNNN