Honeywell to Acquire Warehouse Automation Firm Intelligrate for $1.5 Billion
A privately held Ohio-based supply chain and warehouse automation company will be purchased for $1.5 billion.
Intelligrated, which is based in Mason, Ohio, entered an agreement to be acquired by New Jersey-based Honeywell, a Fortune 100 diversified technology and manufacturing leader.
The transaction is expected to close by the end of the third quarter, according to both companies.
Intelligrated posted 30.4% revenue growth from 2013 to 2015 and the company’s 2016 sales are estimated to be approximately $900 million.
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The company on July 5 declined to provide further comment on the deal, until it is finalized.
Since being acquired by global investment firm Permira in 2012, Intelligrated has undergone a period of tremendous growth, which included increasing its revenue by more than 90% and winning major new customers like UPS Inc., Amazon, the U.S. Postal Service, Nordstrom, Walgreens and Tesla.
Founded in 2001, the logistics equipment maker has about 3,200 employees total worldwide.
“The Intelligrated story has always been defined by innovation and doing whatever it takes to give our customers a competitive edge,” Intelligrated co-founder Chris Cole said in a statement. “Joining Honeywell enables us to break new ground with the most advanced levels of systems integration, intelligent software and controls and data-driven efficiency. Our commitment to innovation and intense focus on customer service and support will continue to deliver unmatched results.”
Honeywell, which employs about 130,000 people worldwide, generated revenues of $38.6 billion in 2015. It serves customers with aerospace products and services, control technologies for buildings, homes and industry, turbochargers and performance materials.
Intelligrated will become part of Sensing and Productivity Solutions in Honeywell’s Automation and Control Solutions business. Intelligrated co-founders Chris Cole and Jim McCarthy will continue to serve in a leadership role.
Eric Hansen, Mason’s city manager, said Intelligrated has had a significant impact because it started in the city and expanded there several times, most recently in 2013 and 2015.
“Intelligrated has been a great success story for the city of Mason along with several other companies,” Hansen said. “This is just a further evolution of that success. It gives them access to global markets, global capital and deepens their access to technology.”
