Air Products Completes $1.81 Billion Sale of Liquefied Natural Gas Process Technology and Equipment Business to Honeywell
Air Products (NYSE: APD) has completed the sale of its liquefied natural gas (LNG) process technology and equipment business to Honeywell for $1.81 billion in cash. The strategic divestiture, first announced in July 2024, reflects Air Products' commitment to its two-pillar growth strategy: profitably growing its core industrial gases and related equipment businesses, and delivering clean hydrogen at scale.
The transaction includes the transfer of related assets, intellectual property, manufacturing capability, and approximately 475 employees, as well as the Port Manatee, Florida coil-would heat exchanger manufacturing facility. Lazard, Inc. served as financial advisors, while Skadden, Arps, Slate, Meagher & Flom LLP provided external legal counsel for the deal.
Air Products (NYSE: APD) ha completato la vendita della sua tecnologia e attrezzature per il processo di gas naturale liquefatto (GNL) a Honeywell per 1,81 miliardi di dollari in contante. Questa dismissione strategica, annunciata per la prima volta a luglio 2024, riflette l’impegno di Air Products verso la sua strategia di crescita a due pilastri: crescere in modo redditizio nel core business dei gas industriali e delle attrezzature correlate, e fornire idrogeno pulito su larga scala.
La transazione include il trasferimento di beni correlati, proprietà intellettuale, capacità di produzione e circa 475 dipendenti, oltre allo stabilimento di produzione degli scambiatori di calore a bobina a Port Manatee, Florida. Lazard, Inc. ha funto da consulente finanziario, mentre Skadden, Arps, Slate, Meagher & Flom LLP ha fornito assistenza legale esterna per l'affare.
Air Products (NYSE: APD) ha completado la venta de su tecnología y equipo de proceso de gas natural licuado (GNL) a Honeywell por 1,81 mil millones de dólares en efectivo. Esta desinversión estratégica, anunciada por primera vez en julio de 2024, refleja el compromiso de Air Products con su estrategia de crecimiento de dos pilares: crecer de manera rentable en sus negocios centrales de gases industriales y equipos relacionados, y ofrecer hidrógeno limpio a gran escala.
La transacción incluye la transferencia de activos relacionados, propiedad intelectual, capacidad de fabricación y aproximadamente 475 empleados, así como la instalación de fabricación de intercambiadores de calor tipo bobina en Port Manatee, Florida. Lazard, Inc. actuó como asesores financieros, mientras que Skadden, Arps, Slate, Meagher & Flom LLP proporcionó asesoría legal externa para el acuerdo.
Air Products (NYSE: APD)는 액화천연가스(LNG) 프로세스 기술 및 장비 사업을 Honeywell에 18억 1천만 달러에 매각하는 것을 완료했습니다. 이번 전략적 매각은 2024년 7월 처음 발표되었으며, Air Products의 두 가지 성장 전략인 핵심 산업가스 및 관련 장비 비즈니스를 수익성 있게 성장시키고, 대규모 청정 수소를 제공하는 것에 대한 약속을 반영합니다.
이번 거래에는 관련 자산, 지적 재산권, 제조 능력 및 약 475명의 직원이 포함되며, 플로리다 포트 마나티의 코일형 열교환기 제조 시설도 포함됩니다. Lazard, Inc.는 재정 자문을 제공하였으며, Skadden, Arps, Slate, Meagher & Flom LLP는 이 거래에 대한 외부 법률 자문을 제공했습니다.
Air Products (NYSE: APD) a terminé la vente de sa technologie de processus et de son équipement de gaz naturel liquéfié (GNL) à Honeywell pour 1,81 milliard de dollars en espèces. Cette cession stratégique, annoncée pour la première fois en juillet 2024, reflète l'engagement d'Air Products envers sa stratégie de croissance en deux volets : croître de manière rentable dans ses activités principales de gaz industriels et d'équipements connexes, et fournir de l'hydrogène propre à grande échelle.
La transaction comprend le transfert d'actifs connexes, de propriété intellectuelle, de capacité de fabrication et d'environ 475 employés, ainsi que de l'usine de fabrication d'échangeurs de chaleur à bobine de Port Manatee, en Floride. Lazard, Inc. a servi de conseiller financier, tandis que Skadden, Arps, Slate, Meagher & Flom LLP a fourni une assistance juridique externe pour l'accord.
Air Products (NYSE: APD) hat den Verkauf seiner Technologie und des Equipments für die Verarbeitung von verflüssigtem Erdgas (LNG) an Honeywell für 1,81 Milliarden US-Dollar in bar abgeschlossen. Die strategische Veräußertung, die erstmals im Juli 2024 angekündigt wurde, spiegelt das Engagement von Air Products für seine Wachstumsstrategie mit zwei Säulen wider: profitables Wachstum im Kerngeschäft mit Industriedgasen und verwandten Geräten sowie die Bereitstellung von sauberem Wasserstoff in großem Maßstab.
Die Transaktion umfasst die Übertragung von damit verbundenen Vermögenswerten, geistigem Eigentum, Fertigungskapazitäten und etwa 475 Mitarbeitern sowie das Herstellungswerk für Rohrbündel-Wärmetauscher in Port Manatee, Florida. Lazard, Inc. fungierte als Finanzberater, während Skadden, Arps, Slate, Meagher & Flom LLP externe rechtliche Beratung für den Vertrag bereitstellte.
- Completed sale of LNG business for $1.81 billion in cash
- Strategic alignment with core industrial gases and clean hydrogen growth strategy
- Successful transfer of assets, IP, and manufacturing capability to Honeywell
- Loss of approximately 475 employees to Honeywell
- Divestiture of Port Manatee manufacturing facility
Insights
The sale of Air Products' LNG business to Honeywell for
- Strengthened balance sheet with a substantial cash infusion
- Potential for reinvestment in high-growth areas or shareholder returns
- Streamlined operations by divesting a non-core business
However, investors should consider the long-term impact on revenue streams and growth potential. The LNG business likely contributed to APD's diversification and may have offered synergies with other segments. The market's reaction will depend on how effectively APD deploys the proceeds and executes its two-pillar strategy. This move could accelerate APD's position in the clean energy transition, potentially offsetting any lost growth from the LNG segment.
This divestiture signals a clear strategic shift for Air Products, doubling down on industrial gases and clean hydrogen. The
- Increased investor focus on APD's execution in clean hydrogen projects
- Potential for increased M&A activity or capacity expansion in core areas
- Heightened competition in the industrial gas sector as APD concentrates resources
The market will likely view this positively in the short term due to the cash influx, but long-term performance will hinge on APD's ability to capitalize on clean energy trends and maintain growth without the LNG segment. Investors should monitor APD's capital allocation decisions and progress in hydrogen initiatives to gauge the success of this strategic pivot.
- Strategic divestiture reflects Air Products' commitment to its industrial gases and clean hydrogen growth strategy
- All related assets, intellectual property, manufacturing capability, and personnel have successfully transferred to Honeywell
The divestiture of the LNG process technology and equipment business is strategic, reflecting Air Products' firm focus on its two-pillar growth strategy to profitably grow its core industrial gases and related equipment businesses, and to deliver clean hydrogen at scale.
With the sale, related assets, manufacturing capability and personnel associated with the LNG process technology and equipment business have transferred successfully to Honeywell, including approximately 475 employees and the
Chairman, President and Chief Executive Officer Seifi Ghasemi said, "I want to thank our former LNG colleagues for their contributions, hard work and expertise, which have built a strong foundation that Honeywell can now take forward. Air Products remains laser focused on creating shareholder value by executing our growth strategy in industrial gases and clean hydrogen to drive the energy transition and decarbonize."
Lazard, Inc. served as financial advisors to Air Products, while Skadden, Arps, Slate, Meagher & Flom LLP provided external legal counsel.
About Air Products
Air Products (NYSE: APD) is a world-leading industrial gases company in operation for over 80 years focused on serving energy, environmental, and emerging markets. The Company has two growth pillars driven by sustainability. Air Products' base business provides essential industrial gases, related equipment and applications expertise to customers in dozens of industries, including refining, chemicals, metals, electronics, manufacturing, and food. The Company also develops, engineers, builds, owns and operates some of the world's largest clean hydrogen projects supporting the transition to low- and zero-carbon energy in the heavy-duty transportation and industrial sectors. Additionally, Air Products provides turbomachinery, membrane systems and cryogenic containers globally.
The Company had fiscal 2023 sales of
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SOURCE Air Products
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