June 20 (Reuters) - Honeywell ( HON ) has agreed to buy
aerospace and defense technology company CAES Systems for $1.9
billion from private equity firm Advent International, the
company said on Thursday.
The all-cash deal marks Honeywell's ( HON ) second acquisition
in recent months to strengthen its aerospace technologies unit,
amidst a realignment of its business to focus on megatrends such
as automation, aviation and energy transition.
To bolster growth, the company has, in the past few years,
doubled down on mergers and acquisitions to strengthen
high-performing segments, while spinning off units that don't
align with its growth strategy.
Among them, aerospace in particular has lifted the
company's performance due to strong demand for parts from
customers such as Boeing ( BA ) and Airbus, as travel
demand booms.
CAES, formerly known as Cobham Advanced Electronic
Solutions, designs, develops and tests electronics such as
antenna systems and communication networks for aerospace and
defense companies.
The Wall Street Journal first reported the deal on Thursday.
(Reporting by Ananta Agarwal in Bengaluru; Editing by Janane
Venkatraman
)