Honeywell Reaches Agreement To Sell Friction Materials Business To Federal-Mogul
January 07, 2014
Honeywell announced that it has reached a definitive agreement to sell its Friction Materials business unit to Federal Mogul Corporation for approximately $155 million. The transaction, subject to required regulatory approvals and applicable information and consultation requirements, is expected to close in the second half of 2014.
Honeywell Friction Materials is a leading manufacturer of disc brake pads and braking system components for original equipment manufacturers and the aftermarket covering passenger car, light truck, commercial vehicle, railway, and other industrial applications.
“Smart investment decisions over the past few years have significantly improved the competitive position of Friction Materials faster than we originally planned,” said Honeywell Chairman and Chief Executive Officer Dave Cote. “While the business is much stronger today, it does not fit with Honeywell’s core differentiated technologies focus and long-term growth plans. Federal Mogul’s strong automotive components business is a better strategic fit for Friction Materials’ continued growth over the long-term."