Honeywell also announced that it has completed its spin-off of Garrett Motion Inc., Honeywell's former Transportation Systems business. Garrett shares began "regular way" trading on the New York Stock Exchange this morning, under the symbol "GTX."
Additionally, management commented Honeywell is making good progress in executing the spin of the Homes and ADI global distribution business, which will be named Resideo. A Resideo Investor Conference is scheduled for October 10, and Resideo shares are expected to begin trading under the ticker symbol “REZI” around that time.
The Transnorm Deal:
Transnorm has an installed base of 160,000 units and a large and growing aftermarket parts and services business. About 60% of Transnorm's annual sales are generated in Europe. The company's annual sales are about €100 mln and are on track to grow by more than 30% in 2018.
The transaction is expected to close in November, and upon approval, Transnorm will be part of Honeywell's Safety and Productivity Solutions (SPS) segment.
The deal will add to Honeywell's presence in the warehouse automation market, which is growing at a double-digit pace driven by growth in e-commerce. Honeywell's warehouse and logistics business also includes complementary technologies including voice-directed workflow solutions, advanced mobile computing hardware and software, and FLUX warehouse management software that powers connected distribution centers.
The distribution of Garrett ordinary shares occurred effective at 12:01 a.m. Eastern Time on October 1, 2018. In the distribution, Honeywell distributed one share of Garrett common stock for every ten shares of Honeywell common stock held as of 5:00 p.m. Eastern Time on September 18, 2018, the record date for the distribution.
As a bit of background, Garrett Motion Inc. designs, manufactures, and sells highly engineered turbocharger and electric boosting technologies for light and commercial vehicle original equipment manufacturers and the aftermarket. Garrett maintains a leadership position across all vehicle types, engine types, and regions.
Next up, HON is slated to report Q3 results on October 19, before the open.