Honeywell to Sell Part of Its Business for $1.4 Billion
Time:2026-04-21 Browse: 1
Recently, Honeywell International Inc. announced that it has signed an agreement to sell its Productivity Solutions and Services (PSS) business to Brady Corporation for $1.4 billion in an all-cash transaction. Brady Corporation, headquartered in Milwaukee, Wisconsin, is a global manufacturer specializing in industrial identification and safety solutions. The transaction is expected to close in the second half of 2026, subject to regulatory approvals.
Overview of the Divested Business
The PSS business is part of Honeywell’s industrial automation segment and generated approximately $1.1 billion in revenue in 2025. It primarily serves the warehouse and logistics markets, offering mobile computers, barcode scanners, and printing solutions. The business is recognized as a leading provider in this space, serving some of the world’s largest transportation, warehousing, and logistics companies.
For Brady Corporation, the acquisition will significantly expand its portfolio in mobile computing and scanning solutions. Russell Shaller, President and CEO of Brady, stated that the company’s offerings are highly complementary to PSS. The integration will combine Brady’s high-performance printing, software, scanning, and specialty materials with PSS’s mobile computing and software suite, creating a more comprehensive, integrated solutions platform for industrial and logistics customers.
A Key Step in Portfolio Transformation
This divestiture marks another major step in Honeywell’s ongoing portfolio simplification strategy. Chairman and CEO Vimal Kapur noted that with the separation of PSS, the company is nearing the completion of its multi-year portfolio transformation. This effort is aimed at preparing for the planned spin-off of its aerospace and automation businesses into two independent, industry-leading publicly listed companies, while further accelerating value creation.
Prior to this transaction, Honeywell divested its personal protective equipment business in 2024 and, in October 2025, spun off its advanced materials segment into a standalone public company, Solstice Advanced Materials. The company is also actively evaluating strategic options for its warehouse and workflow solutions business, which operates commercially under the Intelligrated and Transnorm brands. Notably, Intelligrated was acquired by Honeywell in 2016 for $1.5 billion.
Divestment Alongside Continued M&A Expansion
While divesting non-core assets, Honeywell has also been actively pursuing acquisitions to strengthen its core businesses. Since 2023, the company has completed a series of acquisitions totaling approximately $14 billion. These include companies in compressor controls, cybersecurity (such as SCADAfence), access solutions from Carrier, Civitanavi Systems, CAES Systems, LNG-related assets from Air Products, Sundyne, Li-ion Tamer, and catalyst technologies from Johnson Matthey.
Meanwhile, Honeywell’s aerospace spin-off plan is progressing steadily and is expected to be completed in the third quarter of 2026. Upon completion, Honeywell will separate into two independent, industry-leading public companies focused on aerospace and automation, respectively. The $1.4 billion in proceeds from the PSS sale will further enhance the company’s financial flexibility during this strategic transformation.
