Honeywell Announces Aerospace Spin-Off Plan
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 06 2026
0mins
Should l Buy HON?
Source: PRnewswire
- Bond Offering Plan: Honeywell Aerospace has initiated a private offering of senior notes up to $16 billion to finance its planned spin-off, expected to be completed in Q3 2026, reflecting the company's confidence in its future independent operations.
- Credit Facility Arrangement: Aerospace has secured a $3 billion five-year senior unsecured revolving credit facility and a $1 billion 364-day senior unsecured revolving facility, ensuring sufficient liquidity support during the spin-off process.
- Clear Use of Proceeds: Proceeds from the new bond issuance will be used for cash distribution to Honeywell, covering spin-off-related expenses, and general corporate purposes, indicating a focus on effective capital allocation during the spin-off.
- Market Compliance: The bond offering is exempt from registration under the Securities Act of 1933 and is offered only to qualified institutional buyers, ensuring compliance with market regulations and reducing compliance risks.
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Analyst Views on HON
Wall Street analysts forecast HON stock price to rise
15 Analyst Rating
8 Buy
6 Hold
1 Sell
Moderate Buy
Current: 228.200
Low
195.00
Averages
235.07
High
262.00
Current: 228.200
Low
195.00
Averages
235.07
High
262.00
About HON
Honeywell International Inc. is an integrated operating company serving a range of industries and geographies around the world, with a portfolio that is underpinned by its Honeywell Accelerator operating system and Honeywell Forge platform. The Company provides actionable solutions for aerospace, building automation, industrial automation, process automation, and process technology. The Company supplies products, software, and services for aircrafts that it sells to original equipment manufacturers (OEM) and other customers in a variety of end markets. The Company’s portfolio of solutions and services is used in buildings worldwide for fire prevention, controls, access and security. Its offerings serve as the fundamental building blocks of industrial automation. Its sensor technologies and value-added smart edge devices offer connectivity across a variety of sensing and measurement applications. The Company offers a comprehensive portfolio of end-to-end process automation solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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