Honeywell to divest legacy asbestos liabilities

Honeywell (HON) has divested all of its legacy Bendix asbestos liabilities, as well as certain non-Bendix asbestos liabilities, to Delticus, an institutionally capitalized corporate liability acquisition platform. Honeywell and Delticus contributed approximately $1.68B in cash, as well as certain insurance assets related to these legacy asbestos liabilities, to the newly established structure. Delticus assumed full responsibility for administering and resolving all current and future asbestos-related claims associated with the acquired liabilities. Honeywell utilized a portion of the approximately $1.6B in cash received from the recently announced Resideo Indemnification and Reimbursement Agreement termination transaction to fund the Delticus transaction. The timing also aligns with Honeywell’s overall efforts to simplify its portfolio in advance of its planned separation into three independent companies, expected to be completed in the second half of 2026. Honeywell will have no further financial exposure to the transferred liabilities, which will be fully managed and administered by Delticus and for which Honeywell is fully indemnified.