Summary
Carrier Global Corporation has entered into a definitive agreement to sell its security business, Global Access Solutions, to Honeywell International Inc. for an enterprise value of $4.95 billion. This strategic divestiture is expected to close before the end of the third quarter of 2024, subject to customary closing conditions and regulatory approvals. The sale price is subject to adjustments based on working capital and net indebtedness of the business at closing. This move signals a significant shift in Carrier's strategic focus, likely allowing the company to concentrate on its core HVAC and refrigeration segments.
Key Highlights
- 1Carrier agrees to sell its Global Access Solutions security business to Honeywell for $4.95 billion.
- 2The transaction is structured as a stock purchase agreement.
- 3Closing is anticipated before the end of Q3 2024, contingent upon standard closing conditions and governmental approvals.
- 4The purchase price is subject to adjustments for working capital and net indebtedness.
- 5The deal is not contingent on financing or shareholder approval.
- 6Carrier has agreed to customary non-compete clauses for a period of two years post-closing in specified areas.
Frequently Asked Questions
Carrier Global Corporation is selling its security business, known as Global Access Solutions, to Honeywell International Inc.
The enterprise value for the sale is $4.95 billion. This price is subject to adjustments based on the working capital and net indebtedness of the business at the time of closing.
The closing is expected to occur before the end of the third quarter of 2024, provided all customary closing conditions, including regulatory approvals, are met.
Yes, Carrier and its subsidiaries have agreed not to directly or indirectly engage in certain activities competitive with the sold business for two years following the closing, as specified in the agreement.