Honeywell Scoops Up Warehouse Automation Technology Firm

October 1, 2018

2 Min Read
Honeywell Scoops Up Warehouse Automation Technology Firm

Industrial solutions provider Honeywell signed an agreement to acquire German warehouse automation technology firm Transnorm System GmbH from IK Investment Partners for €425 million, or about $492 million, an announcement Monday said. 

Transnorm manufactures engineered conveyor systems for e-commerce and parcel delivery end users, with some 160,000 units installed thus far. The company also provides aftermarket parts and services. Some 60% of the German company’s annual sales €100 million of come from European customers. According to Honeywell, Transnorm’s sales are expected to grow by 30% in 2018. 

“Faced with rising e-commerce demands, distribution centers and parcel delivery providers are looking to automation solutions to improve productivity, speed, and accuracy,” John Waldron, president and chief executive officer of Honeywell Safety and Productivity Solutions, said in a company press release. “Transnorm complements our portfolio of automated material handling equipment and supply chain software to enable us to deliver our vision of the connected distribution center to our customers. It also substantially enhances our presence in the European market.”

Based in Harsum, Germany, Transnorm produces curved conveyor systems and booms for loading packages into vehicles. Honeywell entered the warehouse automation market in 2016 with its purchase of automated material handling solutions firm Intelligrated. 

“The acquisition of Transnorm will build upon the tremendous success of the Intelligrated acquisition to take part in very strong European growth driven e-commerce. The acquisition provides multiple avenues for continued growth and margin expansion for Honeywell,” said the chairman and chief executive officer of Honeywell, Darius Adamczyk, in a statement.

About 500 people are currently employed by Transnorm.

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