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CHARLOTTE, N.C. - Honeywell (NASDAQ:HON), a $137.4 billion industrial conglomerate with a FAIR financial health rating according to InvestingPro, has unveiled the executive team for its soon-to-be independent Advanced Materials business, set to be known as Solstice Advanced Materials, with headquarters in Morris Plains, New Jersey. The company, anticipated to launch by early 2026, will focus on specialty chemicals and materials with a sustainability emphasis. Trading at a P/E ratio of 24.26, Honeywell currently appears fairly valued based on InvestingPro’s Fair Value analysis.
Dr. Rajeev Gautam is appointed as Chairman of the Board, bringing over four decades of experience within Honeywell. David Sewell, with a background in materials and chemicals, will assume the role of President and CEO immediately, a position he will retain post-spin-off. Tina Pierce is named CFO, effective May 1, 2025, carrying over 25 years of financial leadership at Honeywell.
Jeff Dormo and Simon Mawson will lead Solstice Advanced Materials’ business segments as Senior Vice Presidents and General Managers. Both are current leaders within Honeywell Advanced Materials and possess extensive industry experience.
Vimal Kapur, Chairman and CEO of Honeywell, expressed confidence in the new team’s potential to drive innovation and growth. He highlighted the company’s foundation in low global warming potential Solstice® technology and advances in next-generation chemistry.
Solstice Advanced Materials, which reported nearly $4 billion in revenue last year, will maintain a global presence, including locations in Charlotte, Houston, Dublin, Shanghai, Tokyo, Bangalore, Bucharest, and Mexico City, alongside its manufacturing and R&D sites.
The announcement follows Honeywell’s strategic moves since December 2023, including acquisitions and divestitures aimed at driving organic growth and simplifying its portfolio. This includes the planned separation of its Aerospace Technologies business, expected to finalize in the second half of 2026.
Honeywell, a company serving various industries globally, continues to align with megatrends such as automation, aviation’s future, and energy transition. The company’s forward-looking statements regarding the spin-off are based on current expectations and are subject to risks and uncertainties.
The information in this article is based on a press release statement.
In other recent news, Honeywell International Inc. has announced its agreement to acquire Sundyne for $2.16 billion in cash from Warburg Pincus. This acquisition aims to enhance Honeywell’s Energy and Sustainability Solutions business, with Sundyne’s products expected to contribute to sales growth, segment margins, and adjusted earnings per share in the first year following the acquisition. The transaction is valued at approximately 14.5 times Sundyne’s 2024 tax-adjusted EBITDA, and the deal is anticipated to close in the second quarter of 2025, pending customary closing conditions and regulatory approvals.
In addition to this acquisition, Honeywell has made significant changes to its executive team. Mike Stepniak has been appointed as the new Chief Financial Officer, succeeding Gregory P. Lewis, who has transitioned to the role of Senior Vice President, Transformation and Senior Advisor. Meanwhile, Fitch Ratings has placed Honeywell’s ratings on Rating Watch Negative due to the company’s plan to separate its Aerospace Technologies and Automation businesses, which is expected to occur in the second half of 2026.
These developments come amid Honeywell’s ongoing portfolio transformation, which includes plans to split into three new entities and divest noncore assets. The company has been active in the merger-and-acquisition market, announcing approximately $10 billion in acquisitions since the beginning of 2023. Honeywell’s management has expressed its intention to maintain strong investment-grade ratings post-separation, despite the uncertainty surrounding its future capital structure and financial policy.
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