Johnson Matthey's Catalyst Technologies Acquired by Honeywell for £1.8bn
Deal News | May 22, 2025 | Business Cloud
Honeywell, a US multinational conglomerate, has announced an all-cash agreement to acquire Catalyst Technologies, the tech division of British chemicals company Johnson Matthey, for £1.8 billion. This acquisition, pending regulatory approvals with an expected closure by the first half of 2026, represents approximately 11 times its projected 2025 EBITDA. The move is strategic for Honeywell as it aims to expand its energy and sustainability solutions portfolio by incorporating Catalyst Technologies' expertise in refining and petrochemical catalysts, while offering new capabilities in the production of sustainable methanol, sustainable aviation fuel, blue hydrogen, and blue ammonia. This transaction is expected to yield a cash return of £1.4 billion for Johnson Matthey, which sees the sale as part of a broader strategy to refocus on its core capabilities in clean air and platinum group metals services. The deal highlights Johnson Matthey's strategy to streamline its operations and enhance shareholder returns through targeted divestments.
Sectors
- Chemicals
- Energy and Sustainability
- Manufacturing
Geography
- United States – Honeywell, the acquiring company, is a US-based multinational conglomerate.
- United Kingdom – Johnson Matthey, the seller of the tech division, is a British chemicals firm headquartered in London.
- Europe – Catalyst Technologies, a division of Johnson Matthey, has sites across Europe.
- India – Catalyst Technologies has operations in India, expanding the geographical relevance of the acquisition.
Industry
- Chemicals – Johnson Matthey is a British chemicals firm, making this sector relevant for the transaction.
- Energy and Sustainability – The acquisition aligns with Honeywell's energy and sustainability solutions business, involving catalyst and process technologies.
- Manufacturing – The deal involves the Catalyst Technologies division, which focuses on the production of industrial catalysts.
Financials
- £1.8 billion – Total purchase price for Johnson Matthey's Catalyst Technologies division.
- 11x 2025 EBITDA – Represents the valuation multiple of the acquisition.
- £1.4 billion – Expected cash return from the transaction for Johnson Matthey.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Honeywell | Acquirer | Company | A US multinational conglomerate acquiring Johnson Matthey's Catalyst Technologies division. |
| Johnson Matthey | Seller | Company | A British chemicals firm selling its Catalyst Technologies division. |
| Catalyst Technologies | Target Company | Division | The division of Johnson Matthey being acquired by Honeywell. |
| Vimal Kapur | Chairman and CEO | Person | Chairman and CEO of Honeywell, commenting on the acquisition. |
| Liam Condon | Chief Executive | Person | Chief executive of Johnson Matthey, commenting on the sale. |