Honeywell on Monday said it has agreed to acquire EMS Technologies, an Atlanta-based maker of communications equipment for aerospace and defense industries, for around $500 million in cash. EMS Aviation, a division of EMS Technologies, supplies airborne satellite communications systems and broadband data components for gear that communicates over the Inmarsat, Iridium and Aircell networks.
The purchase, one of the largest Honeywell International has made in the United States since merging with AlliedSignal more than a decade ago, adds to the Morristown, New Jersey company’s product portfolios across a range of divisions. Honeywell Aerospace in Phoenix will be one of the biggest immediate beneficiaries of the purchase when the deal closes this summer, adding exponentially to its satcom products group. Satellite communications systems labeled as “Honeywell” boxes are actually supplied by EMS Aviation, which also builds satcom terminals and antennas for Rockwell Collins.
“Combining EMS products into our aerospace business means that Honeywell can now deliver the next big leap in satcom technology, a key growth area for aerospace," said Honeywell Aerospace chief executive Tim Mahoney. "Our customers will greatly benefit from these new products and solutions, enabling them to leverage the strong global growth of high-speed wireless and satellite data services."
EMS Technologies has around 1,200 employees in Atlanta, Ottawa, Canada, and Moorestown, New Jersey.
For more on the acquisition announcement, see Stephen Pope’s blog post, “Why the Black Box Debate Isn’t Over.”