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Honeywell to Sell Warehouse Automation Business in Portfolio Overhaul

Why This Matters to Distributors: Honeywell’s warehouse and workflow solutions business provides the automation technologies that power many distribution centers, including sortation systems, conveyors, robotics, and warehouse software. A standalone owner focused on industrial automation could accelerate investment in those technologies as distributors continue modernizing fulfillment operations.

Honeywell has agreed to sell its warehouse and workflow solutions business to private equity firm American Industrial Partners, completing a strategic review of the warehouse automation unit as the industrial company continues reshaping its portfolio.

The all-cash transaction, announced with Honeywell’s first-quarter earnings, is expected to close in the second half of 2026, subject to customary closing conditions. The companies did not disclose financial terms.

Warehouse and workflow solutions, which operates under the Intelligrated and Transnorm brands, generated approximately $935 million in revenue in 2025. The business designs and services warehouse automation systems, including automated sortation equipment, conveyors, palletizers, robotics, warehouse software, and aftermarket services used by distributors, manufacturers and logistics providers.

American Industrial Partners said the acquisition will combine warehouse and workflow solutions with Trew, its existing warehouse automation platform, creating a larger supplier of fulfillment and material handling technologies.

The sale follows Honeywell’s previously announced agreement to divest its productivity solutions and Services business to Brady Corp. Together; the transactions conclude Honeywell’s review of those businesses as the company prepares to separate its aerospace and automation operations into independent companies. Honeywell said the planned spin-off of Honeywell Aerospace remains on track for June 29, subject to final board approval and customary closing conditions.

Honeywell announced the transaction while reporting first-quarter results that exceeded the prior year. Revenue increased 2% to $9.14 billion, orders rose 7%, and backlog grew to approximately $38.3 billion. The company reaffirmed its full-year outlook of $38.8 billion to $39.8 billion in sales.

For distributors, the transaction reflects continued investment in warehouse automation as companies seek greater throughput, improved labor productivity, and more efficient fulfillment operations. Under American Industrial Partners, the business is expected to focus exclusively on warehouse automation technologies at a time when distributors are accelerating investments in robotics, software, and artificial intelligence to improve distribution center performance.

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