Honeywell Acquires Elster Perfection

Honeywell acquires Geneva's Elster Perfection Corporation. Elster’s gas heating and gas, water and electricity metering businesses will be integrated with Honeywell’s Environmental & Energy Solutions (E&ES) business

Bruce Eric Anderson, of Honeywell’s Automation and Control Solutions, said Elster was acquired on December 29. According to their website, Honeywell acquired the Elster Group and its international manufacturing assets for $5.1 billion. Honeywell expects to add $1.8 billion in annualized sales thanks to the acquisition.

“Elster’s water and electricity metering business, along with part of its gas business, are now part of Honeywell’s Environmental & Energy Solutions (E&ES) business,” Anderson said. “It’s a global business that produces residential and

commercial building controls that help keep millions of homes, businesses and industrial facilities comfortable and energy efficient.”

Honeywell announced the proposed acquisition on July 28. It closed earlier than expected following approval by shareholders and required regulatory approvals, including the U.S., European Union and China.

Anderson said E&ES is a global business unit of Honeywell Automation and Control Solutions. E&ES provides residential, commercial and industrial solutions for energy efficiency, water conservation and water and air quality to customers around the world, he said. 

Elster Perfection of Geneva, now part of Honeywell. When asked if there will be layoffs or major personnel changes at Elster in Geneva, Anderson said, “Now that the acquisition is final, the real work of integrating the two businesses begins. Some of the reasons Elster was attractive to Honeywell was its people and broad portfolio of products and technologies that extend our capabilities in this rapidly growing space. We intend to grow these businesses as part of Honeywell, now with a larger global scale.”

Elster Perfection Corporation of Geneva Site Director Chris O’Keefe said the acquisition was an exciting opportunity.

“Elster is excited about our acquisition by Honeywell and we see enormous benefits as we merge Elster Perfection’s gas distribution products and technologies with Honeywell’s broad portfolio,” O’Keefe said. “I’m eager to implement the Honeywell Operating System in our Geneva facility to improve our manufacturing operations.”

President of Honeywell Environmental and Energy Solutions Tim Darkes said he was glad to have Elster Perfection aboard.

“I would like to welcome Elster employees to Honeywell Environmental and Energy Solutions,” he said. “It brings outstanding people, technology and a global base of utility customers to augment Honeywell’s energy, home and buildings products and solutions. Elster’s position in smart meters is a strong fit with our connected homes and buildings strategy, and our combined combustion product portfolio makes us a leading global provider of industrial combustion components and systems.”

He said the goal of the acquisition is to continue to introduce innovative new products for customers and to leverage Honeywell’s global scale and broad portfolio to drive growth around the world.

Elster’s smart meters are now considered the industry standard, he said.

Honeywell Chairman and CEO Dave Cole said, “The Elster acquisition adds outstanding technologies, strong well recognized brands, energy efficiency know-how and global presence to the Honeywell portfolio. We see Elster as a great opportunity to drive new growth and greater profitability in each of its businesses. It is expected to generate strong future returns for our shareholders.”

Geneva City Manager Doug Starkey said he didn’t foresee any negative impact on the Geneva Elster Perfection plant due to Honeywell’s acquisition.

Source:  Star Beacon

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