Honeywell expands energy transition portfolio with acquisition of Johnson Matthey’s catalyst business

Johnson Matthey is selling its Catalyst Technologies business to Honeywell for £1.8 billion in cash. (Image: Johnson Matthey)

Honeywell has agreed to acquire Johnson Matthey’s Catalyst Technologies business in a strategic move that significantly strengthens its position in energy transition technologies. The all-cash transaction, valued at £1.8 billion, will integrate the UK-based catalyst and process technology provider into Honeywell’s Energy and Sustainability Solutions (ESS) segment.

The deal enhances Honeywell’s ability to serve the refining and petrochemical markets while enabling it, for the first time, to deliver a comprehensive suite of technologies for producing low-emission fuels. These include sustainable methanol, sustainable aviation fuel (SAF), blue hydrogen, and blue ammonia — all central to energy security and decarbonization strategies worldwide.

“The acquisition of Johnson Matthey’s Catalyst Technologies business broadens Honeywell’s role as a world-class technology provider of critical energy needed to drive growth into the future,” said Vimal Kapur, Chairman and CEO of Honeywell. “As demand for diversified sources of energy continues accelerating, we will better enable Honeywell to offer the innovation our customers need.”

Complementary technology and expanded reach

Johnson Matthey’s Catalyst Technologies segment brings over 1,900 employees and a global footprint, with headquarters in London and operations across the U.S., Europe, and India. The business specializes in catalyst manufacturing and licensing of process technologies, directly complementing Honeywell’s UOP unit, which already supplies catalysts and process solutions to the refining and petrochemicals sectors.

By combining the two portfolios, Honeywell will expand its installed base and gain access to new, high-growth end markets. Customers will benefit from integrated offerings that span technology licensing, engineering, services, and catalyst supply — all designed to convert hydrocarbon and renewable feedstocks into valuable products with lower carbon intensity.

“As we continue to expand and evolve our ESS portfolio, acquiring Johnson Matthey’s Catalyst Technologies business will provide our customers a comprehensive and cost-effective approach to transition their businesses to high-value products with lower emissions,” said Ken West, President and CEO of Honeywell’s ESS segment.

Strategic realignment continues

The acquisition forms part of a broader transformation at Honeywell, which is repositioning its portfolio around three core growth areas: automation, aviation, and energy transition. Earlier this year, Honeywell announced plans to spin off its Aerospace Technologies and Advanced Materials businesses, creating three standalone public companies, each with focused strategies and markets.

Since December 2023, Honeywell has undertaken several major transactions to reshape its industrial portfolio. These include acquiring Civitanavi Systems, CAES Systems, the LNG business from Air Products, Sundyne, and Carrier Global’s Access Solutions division. Concurrently, the company has moved to divest its Personal Protective Equipment business, which is expected to close by mid-2025.

These transactions align with Honeywell’s capital deployment strategy and aim to drive organic growth, simplify operations, and strengthen the company’s core capabilities in technology and process automation.

Accelerating the energy transition

Honeywell’s growing ESS division has become a cornerstone of its push into cleaner, more efficient energy solutions. The integration of Johnson Matthey’s Catalyst Technologies is expected to not only expand the division’s technology offerings but also help global customers advance their decarbonization goals.

The combined portfolio will enable refiners and chemical producers to navigate stricter emissions regulations and shifting energy demand by providing a full set of tools for sustainable production. Technologies aimed at converting feedstocks to SAF, methanol, hydrogen, and ammonia are particularly attractive in light of rising demand for cleaner alternatives in aviation and industrial sectors.

The acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to be finalized in the first half of 2026.