Honeywell Shares Surge as Elliott Builds $5 Billion Stake, Urges Breakup of Aerospace and Automation Units

Nov 12, 2024, 01:35 PM

Activist investor Elliott Management has amassed a stake exceeding $5 billion in Honeywell International Inc., marking its largest investment in a single company. Elliott confirmed the investment and is pushing for Honeywell to consider a breakup, specifically advocating the separation of its aerospace and automation divisions into independent companies, similar to moves by its industrial peers. The firm predicts a 51% to 75% increase in Honeywell's share price over two years following the breakup. Following the news, Honeywell shares jumped as much as 9.2% in pre-market trading, reaching record levels.