Honeywell International (HON, Financial) said Friday that Protective Industrial Products would buy its personal protective equipment company for about $1.33 billion in cash.
Part of Honeywell's industrial automation division, the divestment is slated to close in the first half of 2025. The action comes as the industrial conglomerate under pressure from activist investor Elliott Investment separates its aircraft and automotive operations. Honeywell has not revealed its intended use for the sales profits. Moreover, the agreement marks ongoing firm attempts to simplify its portfolio in response to restructuring needs.
Its important to note that Honeywell stock is up around 8% in value on a YTD basis, compared to the S&P 500's gain of around 25% over the same period. Similarly, over the past six months, Honeywell stock has surged upwards of 11% in value, roughly in line with the broader-market gains. Additionally, it offers a 2% forward dividend yield, backed two consecutive years of payout expansion.
