Honeywell has agreed to sell its Warehouse and Workflow Solutions (WWS) business as part of a wider portfolio reshaping, following its first-quarter 2026 results.
The unit, which focuses on warehouse automation and supply chain systems, will be sold in an all-cash deal to American Industrial Partners. The transaction is expected to close in the second half of 2026.
WWS generated around $935 million in revenue in 2025 and operates through brands including Intelligrated and Transnorm. The business provides automated sortation systems, conveyors, robotics, palletising solutions, and related software used across large-scale distribution networks.
The move follows a broader strategy shift at Honeywell, which is also progressing with the planned spin-off of its aerospace division later this year. The company said these changes are aimed at simplifying operations and focusing on core growth areas.
In its Q1 update, Honeywell reported sales of $9.1 billion, up 2% year-on-year, with order growth of 7% and a backlog reaching more than $38 billion. However, operating income declined due to restructuring and divestment-related costs.
The WWS divestment marks the end of Honeywell’s strategic review of the warehouse automation unit. Once completed, the business will combine with existing automation assets under its new owner to expand capabilities across industrial and logistics sectors.
Why it matters
Warehouse automation sits at the core of modern grocery supply chains. Systems like sortation, robotics, and conveyor networks are widely used in supermarket distribution centres to manage high volumes and speed up fulfilment.
This deal signals continued consolidation in the US retail technology and logistics space. As suppliers restructure portfolios, ownership of key automation platforms is shifting — which can influence how retailers and FMCG operators invest in distribution infrastructure over the next few years.
Editor’s Note: Based on Honeywell Q1 2026 results release.
