US: Honeywell To Acquire Intelligrated

Honeywell has signed an agreement to acquire Intelligrated, the privately-held supply chain and warehouse automation leader, in a deal worth $1.5bn.

Intelligrated, currently backed by the Permira private equity funds, designs, manufactures, integrates and installs complete warehouse automation solutions, software and services for smarter distribution and fulfillment operations.  Headquartered in Mason, Ohio, it employs more than 3,100 people in manufacturing and regional offices located across the US, Canada, Mexico, Brazil and China. It expects to generate $900m worth of sales in 2016, having recorded a CAGR of around 13% for the past three years, outpacing the overall industry.

Once the deal is completed, the company will become part of Sensing and Productivity Solutions (S&PS) in Honeywell’s Automation and Control Solutions business.  Honeywell noted: “E-commerce continues to grow at an unprecedented rate and customer demands for faster delivery times have created a need for warehouse, logistics and fulfillment solutions that can increase productivity and lower costs for our customers. This acquisition fits with our vision for a connected industrial company and a connected worker.”

The deal, subject to regulatory approval, is expected to close by the end of the third quarter.