Honeywell International Inc. entered into an amended agreement to acquire Johnson Matthey Plc’s Catalyst Technologies business, reducing the purchase price to £1.325 billion (about $1.79 billion) from the £1.8 billion originally agreed in May 2025. The revised deal extends the long‑stop date to July 21 2026, with a possible further extension to August 21 2026, and the parties expect the transaction to close by the end of August 2026, subject to customary closing conditions including regulatory approvals.
Honeywell projects the acquisition to be accretive to its adjusted earnings per share in the first full year of ownership. The price reduction reflects Catalyst Technologies’ performance in the 2025‑26 financial year, including deferred licensing projects and lower profitability in catalyst supply, which Johnson Matthey confirmed during the amendment. The deal adds high‑growth vectors to Honeywell’s Energy and Sustainability Solutions (ESS) segment, which has shown steady revenue growth but a declining profit margin from 2022 to 2024.
The acquisition strengthens Honeywell’s integrated offering across energy and process technologies, expanding its installed base and enhancing capabilities in refining, petrochemicals, and renewable fuels. It also creates synergies with Honeywell’s Process Technologies and Process Automation businesses, leveraging its aftermarket strengths. The deal aligns with Honeywell’s focus on automation, the future of aviation, and the energy transition megatrends, positioning the company to deliver solutions for lower‑emission fuels such as sustainable methanol, sustainable aviation fuel, blue hydrogen, and blue ammonia.
Johnson Matthey will return approximately £1.0 billion to shareholders through a special dividend and a share buyback program following the sale. The transaction is part of Johnson Matthey’s strategy to streamline its operations and concentrate on Clean Air and Platinum Group Metals, aiming for sustained strong cash generation.
The amended agreement reflects a strategic shift for both companies: Honeywell gains a catalyst platform that complements its existing portfolio, while Johnson Matthey refocuses on core high‑margin businesses. The deal is a material event that will reshape the competitive landscape in the catalyst and energy solutions markets.
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