Honeywell Reconsiders $2.4 Billion Johnson Matthey Catalyst Technologies Acquisition

Honeywell International Inc (NASDAQ: HON) is reportedly reconsidering its planned £1.8 billion ($2.4 billion) acquisition of Johnson Matthey’s Catalyst Technologies business, according to Bloomberg News, which cited sources familiar with the discussions. The potential shift raises questions about the future of one of the year’s notable industrial sector deals and could have significant implications for both companies.

The U.S.-based industrial conglomerate is said to be reviewing the transaction due to concerns over regulatory approvals and whether certain business milestones can be met. While a final decision may be made in the coming days, negotiations are still ongoing, and there remains a possibility that Honeywell and Johnson Matthey could proceed with the deal.

Honeywell first announced the acquisition in May 2025 as part of its broader strategy to expand its footprint in automation, sustainability, and energy transition technologies. The Catalyst Technologies unit manufactures catalysts and enzymes used in a range of industrial processes, aligning with Honeywell’s long-term focus on clean energy solutions and advanced performance materials.

For Johnson Matthey, the sale has been central to its corporate restructuring efforts. The UK-based chemicals company has been streamlining operations to sharpen its focus on clean air technologies and platinum group metals. Proceeds from the divestment were expected to strengthen its balance sheet and support strategic reinvestment.

Investors responded positively when the deal was first announced, driving Johnson Matthey shares sharply higher. Over the past 12 months, the stock has climbed nearly 60%, reflecting optimism surrounding the proposed sale and its potential to unlock shareholder value.

Market participants are now closely monitoring developments, as the outcome could reshape Johnson Matthey’s portfolio strategy and influence Honeywell’s expansion in sustainable industrial technologies and the global energy transition market.