United Tech Rejects Honeywell

United Tech Rejects Honeywell's $90.7 Billion Offer

  • By Sydny Shepard
  • Feb 29, 2016

United Technologies has rejected Honeywell Inc’s $90.7 billion offer saying that pursuing a merger would be “irresponsible” toward its shareholders.

In an unusual move, the two companies sparred publically about a deal that, if carried through, would create one of the largest U.S. companies with almost $100 billion in annual sales.

United Tech said the two companies had talked about possible combination for years, but said that the regulatory environment had changed and a merger would be far outweighed by regulatory delays, required divestitures and customer concerns and concessions.

United Tech’s rejection of the offer came only hours after Honeywell spelled out the details of the $90.7 billion deal to acquire United Tech. The offer included $42.63 billion in cash and 0.614 of its shares for each United Tech share. The proposal represents a 22 percent premium to United Tech’s closing price on Feb. 19, the last trading day before the talks were made public.

United Tech is the parent of Otis elevators, Carrier air conditioners and Pratt & Whitney jet engines, while Honeywell makes thermostats, auto turbochargers and airplane cockpit electronics. Areas of overlap between the companies include small aircraft engines, airplane power units and environmental systems as well as wheels and brakes.

About the Author

Sydny Shepard is the Executive Editor of Campus Security & Life Safety.

Featured

  • Windsor Port Authority Strengthens U.S.-Canada Border Waterway Safety, Security

    Windsor Port Authority, one of just 17 national ports created by the 1999 Canada Marine Act, has enhanced waterway safety and security across its jurisdiction on the U.S.-Canada border with state-of-the-art cameras from Axis Communications. These cameras, combined with radar solutions from Accipiter Radar Technologies Inc., provide the port with the visibility needed to prevent collisions, better detect illegal activity, and save lives along the river. Read Now

  • Survey: 84 Percent of Healthcare Organizations Spotted Cyberattack in Last 12 Months

    Netwrix, a vendor specializing in cybersecurity solutions focused on data and identity threats, surveyed 1,309 IT and security professionals globally and recently released findings for the healthcare sector based on the data collected. It reveals that 84% of organizations in the healthcare sector spotted a cyberattack on their infrastructure within the last 12 months. Phishing was the most common type of incident experienced on premises, similar to other industries. Read Now

  • Keynote Speakers Announced for ISC West 2025

    ISC West, hosted in collaboration with premier sponsor the Security Industry Association (SIA), unveiled its 2025 Keynote Series. Featuring a powerhouse lineup of experts in cybersecurity, retail security, and leadership, each keynote will offer invaluable insights into the challenges and opportunities transforming the field of security. Read Now

    • Industry Events
    • ISC West

  • Study: Video Doorbells Have a 71% Service Attach Rate

    Parks Associates recently announced a new white paper, Consumer IoT Product Development: Managing Costs, Optimizing Revenues, which provides companies with a business-planning blueprint to evaluate how a consumer IoT solution will perform across its lifetime. Subscription services, such as video storage and professional monitoring, can be critical for covering ongoing cloud and support costs Read Now

Most   Popular

Featured Cybersecurity

Webinars

New Products

  • Automatic Systems V07

    Automatic Systems V07

    Automatic Systems, an industry-leading manufacturer of pedestrian and vehicle secure entrance control access systems, is pleased to announce the release of its groundbreaking V07 software. The V07 software update is designed specifically to address cybersecurity concerns and will ensure the integrity and confidentiality of Automatic Systems applications. With the new V07 software, updates will be delivered by means of an encrypted file. 3

  • 4K Video Decoder

    3xLOGIC’s VH-DECODER-4K is perfect for use in organizations of all sizes in diverse vertical sectors such as retail, leisure and hospitality, education and commercial premises. 3

  • HD2055 Modular Barricade

    Delta Scientific’s electric HD2055 modular shallow foundation barricade is tested to ASTM M50/P1 with negative penetration from the vehicle upon impact. With a shallow foundation of only 24 inches, the HD2055 can be installed without worrying about buried power lines and other below grade obstructions. The modular make-up of the barrier also allows you to cover wider roadways by adding additional modules to the system. The HD2055 boasts an Emergency Fast Operation of 1.5 seconds giving the guard ample time to deploy under a high threat situation. 3