Honeywell on Tuesday said it will pay $491 million to acquire EMS Technologies, the parent company of EMS Aviation. The transaction is expected to be completed in the third quarter of 2011.
“We believe that becoming a part of Honeywell will provide EMS businesses with the scale, resources and market presence that should benefit our customers and expand career opportunities for our employees,” said Neil Mackay, president and CEO of EMS.
Honeywell said the acquisition will enhance its existing capabilities in rugged mobile computing technologies and satellite communications within its Automation and Control Solutions (ACS) and Aerospace businesses.
"EMS is a terrific addition to Honeywell, adding leading positions in attractive markets that are closely aligned with favorable trends in the growing Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR) space and commercial aerospace, as well as being highly complementary to our existing Scanning and Mobility business," said Honeywell Chairman and CEO Dave Cote. "Honeywell is uniquely positioned to acquire EMS due to the strategic fit across EMS's Global Resource Management and Aviation divisions. The acquisition brings engineering expertise, differentiated technologies, global reach, and profitable adjacent segments that build upon our great positions in good industries and enhance our growth profile."
EMS Aviation designs and manufactures satellite-based broadband communication systems, serving commercial and defense customers. "Combining EMS products into our Aerospace business means that Honeywell can now deliver the next big leap in satcom technology, a key growth area for aerospace," said Honeywell Aerospace President and CEO Tim Mahoney. "Our customers will greatly benefit from these new products and solutions, enabling them to leverage the strong global growth of high-speed wireless and satellite data services."