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In July, the two firms revealed the all-cash transaction.
Air Products announced the completion of the deal in a statement on Monday, saying that closing conditions for the transaction have been fully met and regulatory approvals have been received.
“The divestiture of the LNG process technology and equipment business is strategic, reflecting Air Products’ firm focus on its two-pillar growth strategy to profitably grow its core industrial gases and related equipment businesses, and to deliver clean hydrogen at scale,” the firm said.
With the sale, related assets, manufacturing capability, and personnel associated with the LNG process technology and equipment business have transferred successfully to Honeywell,
This includes about 475 employees and the Port Manatee, Florida coil-would heat exchanger (CWHE) manufacturing facility.
Last year, Air Products announced it will make a “significant” investment to meet industry demand with increased winding capacity at its LNG equipment manufacturing facility located in Port Manatee.
Air Products said this investment will increase its manufacturing capacity by almost 20 percent.
Moreover, this followed a previous expansion which the company completed in 2019 and that increased the facility’s original capacity by 60 percent.
The company opened its LNG equipment manufacturing facility in January 2014 and rolled out its first LNG heat exchanger from the facility in September 2016.
Fourth acquisition for Honeywell in 2024
Honeywell said in a separate statement its full-service solution now provides customers an offering that encompasses natural gas pre-treatment, liquefaction, and digital automation technologies unified under the Honeywell Forge and Experion platforms, as well as the addition of Air Products’ CWHE technology.
This is the fourth acquisition Honeywell has closed in 2024 as part of its capital deployment strategy.
“The acquisition of Air Products’ LNG process technology and equipment business strengthens Honeywell’s energy transition portfolio and will enable our customers to manage their liquefied natural gas assets with greater efficiency and reliability,” said Ken West, president and CEO of Honeywell’s energy and sustainability solutions (ESS) segment.
“With the integration of the LNG business, we will be able to provide a greater level of energy transition management from beginning to end through a full spectrum of scalable solutions,” West said.