Honeywell makes $491M tender offer for EMS Technologies

Egret Acquisition subsidiary will initiate purchase

Egret Acquisition Corp., a wholly owned subsidiary of Honeywell International Inc., has announced a tender offer to buy all outstanding shares of common stock of EMS Technologies Inc., including the associated common stock purchase rights, at a price of $33 per share in cash, for a final aggregate purchase price of approximately $491 million.

Honeywell announced its intention to acquire EMS June 13.

Following the successful completion of the tender offer, and subject to the satisfaction of certain conditions, Egret will complete a second-step merger in which remaining EMS shares (other than shares for which dissenters' rights have been exercised) will be converted into the right to receive the same per share price paid in the tender offer, and EMS will become a wholly owned subsidiary of Honeywell, according to a June 27 Honeywell announcement.

The tender offer will expire at 12:00 midnight, New York City time, July 25, 2011, unless extended in accordance with the terms of the previously announced merger agreement and applicable Securities and Exchange Commission rules and regulations.

Egret Acquisition Corp. is filing the appropriate statements with the SEC June 27, the announcement added.

EMS' $181 million Global Resource Management division provides highly ruggedized mobile-computing products and services for use in transportation, logistics and workforce management as well as secure satellite-based asset tracking and messaging technology for search and rescue, warehousing and field force automation environments, according to Honeywell.

Through its $174 million Aviation division, EMS provides terminals, antennas, in-cabin network devices, rugged data storage, and surveillance applications predominantly for use on aircraft and for other data-gathering objectives.

Honeywell said the acquisition will enhance its existing capabilities in rugged mobile-computing technologies and satellite communications in its Automation and Control Solutions and Aerospace businesses.

Honeywell International Inc., of Morristown, N.J., ranks No. 26 on Washington Technology’s 2011 Top 100 list of the largest federal government contractors.

About the Author

David Hubler is the former print managing editor for GCN and senior editor for Washington Technology. He is freelance writer living in Annandale, Va.

Reader Comments

Please post your comments here. Comments are moderated, so they may not appear immediately after submitting. We will not post comments that we consider abusive or off-topic.

Please type the letters/numbers you see above

What is your e-mail address?

My e-mail address is:

Do you have a password?

Forgot your password? Click here
contracts DB


  • Dive into our Contract Award database

    In an exclusive for WT Insider members, we are collecting all of the contract awards we cover into a database that you can sort by contractor, agency, value and other parameters. You can also download it into a spreadsheet. Read More

  • Is SBA MIA on contractor fraud? Nick Wakeman

    Editor Nick Wakeman explores the puzzle of why SBA has been so silent on the latest contractor fraud scandal when it has been so quick to act in other cases. Read More