Honeywell buying Compressor Controls Corp. for $670 mln in deal that will add to its earnings

Honeywell International Inc. HON said Wednesday it will pay $670 million to buy Compressor Controls Corp. from private equity firm Clayton, Dubilier & Rice and Roper Technologies Inc. ROP. Honeywell said the purchase price is about 15 times Compressor Controls Corp.’s estimated 2023 earnings before interest, taxes, depreciation and amortization of about $44.7 million. Honeywell said it expects the acquisition to immediately add to earnings after it closes as expected in the second half of 2023. Honeywell currently projects a roughly 5% cash-basis return on its investment five years after closing the deal. Honeywell stock…