Honeywell said the sale marks the final step in its shift to a pure-play automation company after earlier divestitures of Warehouse and Workflow Solutions and its Personal Protective Equipment business.
Brady Corporation said it completed its previously announced acquisition of Honeywell Technologies’ Productivity Solutions and Services business on August 3, closing an all-cash $1.4 billion deal that broadens its industrial technology footprint. The transaction combines Brady’s printers and consumables with PSS’s mobile computing, scanning, RFID, and workflow software, and Brady said the acquired business generated approximately $1.1 billion in sales in 2025. Honeywell said the divestiture completes its transition to a pure-play automation company focused on the building, industrial and process sectors. The company said the PSS sale follows the completed sale of its Warehouse and Workflow Solutions business last month and the divestiture of its Personal Protective Equipment business in 2025. Honeywell also said it has completed about $11.5 billion of accretive, synergistic acquisitions since 2023, including Compressor Controls Corporation, SCADAfence, the Access Solutions business from Carrier Global, the LNG business from Air Products, Sundyne, Li-ion Tamer and the Catalyst Technologies business from Johnson Matthey. Brady said the purchase was funded with cash on hand, a senior unsecured credit facility, and private placement debt, while preserving liquidity for operations and growth. Following the acquisition, Brady will operate through two reportable segments: Identification Solutions for its legacy business and Intelligent Productivity Solutions for PSS. Management said the transaction expands Brady’s addressable market by giving it access to the $9 billion productivity solutions market and strengthens its exposure to automation, digitization, and asset tracking trends. Brady also said PSS’s software and services could lift recurring revenue and improve its long-term margin profile. Financially, Brady said the acquisition is expected to be immediately accretive to adjusted diluted earnings per share, with about $0.80 of incremental contribution in the first 12 months after closing. The company also expects at least $25 million in annual run-rate cost synergies within three years and said net debt-to-EBITDA should be about 2.5x after financing, falling below 2.0x within two years. Both companies said expected benefits remain subject to the uncertainties outlined in their forward-looking statements.