Bloomberg reports: Honeywell may abandon acquisition of Johnson Matthey's catalyst business

Investing.com - According to Bloomberg, citing sources, Honeywell International (NASDAQ: HON) is weighing whether to abandon its plan to acquire Johnson Matthey’s catalyst technology business.

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The report states that this American industrial group is reconsidering the £1.8 billion ($2.4 billion) deal due to concerns over regulatory approval and the achievement of certain business milestones. A final decision may be made in the coming days, although discussions are still ongoing, and both companies may still attempt to complete the transaction.

Honeywell agreed to acquire the division in May 2025, which produces catalysts and enzymes for industrial processes, as part of its broader push into automation and sustainable technologies. The potential failure of this deal would mark a setback for Johnson Matthey’s restructuring strategy, which focuses on streamlining operations and concentrating on clean air and platinum group metals businesses.

Johnson Matthey’s stock price surged after the initial announcement, rising nearly 60% over the past 12 months, reflecting investor optimism about the divestiture and the associated balance sheet improvements.

Investors are closely watching the negotiations, as this deal is seen as a key step in reshaping Johnson Matthey’s portfolio and expanding Honeywell’s exposure to energy transition technologies.

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