Air Products completes $1.81bn LNG business sale to Honeywell

Air Products has completed the $1.81bn sale of its liquefied natural gas (LNG) process technology and equipment business to Honeywell.

First announced in July 2024, the acquisition marks what Air Products has described as a strategic divestiture to enhance its focus on its two-pillar growth strategy to grow its core industrial gases business and deliver clean hydrogen at scale.

Read more: Why did Air Products sell its LNG tech to Honeywell

LNG process technology and equipment-related assets, manufacturing capability, and personnel have now been transferred to Honeywell, including approximately 475 employees and the Port Manatee, Florida, coil-would heat exchanger manufacturing facility.

Read more: Air Products increases capacity at LNG equipment site in Florida

Seifi Ghasemi, Chairman, President, and CEO of Air Products, thanked the form LNG colleagues for their contributions, hard work, and expertise over the years.

He added, “Air Products remains laser focused on creating shareholder value by executing our growth strategy in industrial gases and clean hydrogen to drive the energy transition and decarbonise.”

Post-transaction, Honeywell now offers a full-service solution that encompasses natural gas pre-treatment, state-of-the-art liquefaction, and digital automation technologies unified under the Honeywell Forge and Experion platforms, as well as the addition of Air Products’ coil-wound heat exchangers (CWHE) technology.

Ken West, President and CEO of Honeywell’s Energy and Sustainability Solutions (ESS) segment, said that the acquisition strengthens Honeywell’s energy transition portfolio and will allow customers to better manage their LNG assets.

He added, “With the integration of the LNG business, we will be able to provide a greater level of energy transition management from beginning to end through a full spectrum of scalable solutions.”