Kirkland & Ellis Advises Honeywell on $2.16B Sundyne Acquisition.
Honeywell (Nasdaq: HON) has announced its acquisition of Sundyne, a leader in the manufacturing of pumps and gas compressors for the process industries, in a $2.16 billion all-cash deal.
The transaction, which is expected to close by Q2 2025, marks a significant step in Honeywell’s strategy to expand its capabilities in energy and sustainability solutions.
Kirkland & Ellis advised Honeywell on this major transaction, facilitating the $2.16 billion acquisition of Sundyne from private equity firm Warburg Pincus.
Strategic Acquisition to Strengthen Honeywell's Energy Solutions
The deal, valued at approximately 14.5 times Sundyne’s projected 2024 EBITDA on a tax-adjusted basis, positions Honeywell to leverage Sundyne’s industry-leading products. Sundyne’s specialized equipment—used in critical sectors such as energy—aligns well with Honeywell’s Energy and Sustainability Solutions (ESS) business.
Vimal Kapur, Chairman and CEO of Honeywell, shared his enthusiasm about the acquisition, stating, “By combining Honeywell's top-tier technology with Sundyne's leading process industry solutions, this acquisition will further enhance our dynamic Honeywell UOP business and create strategic growth opportunities in attractive verticals.”
Sundyne’s Role in the Deal
Sundyne is a key player in pumps and gas compressors, specializing in highly-engineered solutions. The acquisition strengthens Honeywell’s ability to drive innovation and efficiency within the energy sector while supporting global energy security.
Mary Zappone, CEO of Sundyne, expressed optimism about the combined future, saying, “There are numerous benefits that we can achieve together with Honeywell that will accelerate growth and improve efficiency for customers.”
Warburg Pincus' Role in the Deal
The acquisition also marks the end of a five-year partnership between Sundyne and its private equity backer, Warburg Pincus. Dan Zamlong, Managing Director at Warburg Pincus, remarked, “We are incredibly proud to have partnered with the talented leadership team at Sundyne over the past five years. Sundyne's focus on diversifying its end markets, investing in innovative products, and optimizing its operations has set a solid foundation for sustained, above-market growth.”
A Closer Look at the Deal
Honeywell’s purchase of Sundyne reflects a broader trend in corporate strategy, where technology and efficiency in energy are at the forefront. The strategic acquisition will not only boost Honeywell’s existing business segments but also create new opportunities in the growing markets of energy efficiency and sustainability.
As for the deal’s timeline, regulatory approvals are still required, but once completed, the acquisition is expected to close by Q2 2025.
Legal Advisors Behind the Deal
Kirkland & Ellis played a crucial role in advising Honeywell on the $2.16 billion acquisition. A diverse legal team was involved, including corporate lawyers Ted Frankel, David Klein, Edward Brennan, Matt Nelson, Dan O’Dea, Megan Myers, and Aubrielle Smoot. Additionally, Dan Lewis handled technology and IP transactions, Sara Zablotney advised on tax matters, and Scott Price provided counsel on executive compensation.
Sundyne is a leading manufacturer of pumps and compressors for critical industrial applications. Founded in 1957, Sundyne began as a division of Sundstrand Corporation, initially producing aerospace components before expanding into the process industries. Today, Sundyne is recognized for its integrally geared pumps and sealless magnetic drive pumps. The company serves industries such as oil and gas, chemical processing, hydrogen production, and energy.
Sundyne’s legacy includes the acquisition of several industry-leading brands, including HMD Kontro, Ansimag, and Marelli, broadening its product offerings and solidifying its position as an innovative force in fluid and gas handling solutions. The company is committed to high-quality engineering, sustainability, and delivering efficient, reliable products designed for the toughest applications.
Kirkland & Ellis is a global law firm recognized for its expertise in corporate law, litigation, intellectual property, and private equity. With offices across major financial hubs, the firm serves a diverse range of industries, providing innovative solutions for complex legal and business challenges. Known for its top-tier legal services, Kirkland & Ellis focuses on high-profile cases and transactions, offering clients cutting-edge strategies and deep industry insights.
