Honeywell to Acquire Sparta Systems for $1.3 Billion

Honeywell announced on Dec. 22, 2020 that it will acquire Sparta Systems, a US-based provider of enterprise quality management software (QMS), for $1.3 billion in cash.

Under the terms of the agreement, Honeywell will use Sparta’s expertise to introduce new QMS solutions for life sciences to its customer base, a Honeywell press release said. Specifically, Honeywell plans to add artificial intelligence and machine learning capabilities to its digital QMS, along with new Internet of Things (IoT)-enabled connectivity between quality and operational data to determine manufacturing irregularities and triage quality events in real time.

"Sparta Systems is an ideal complement to our life sciences portfolio," said Rajeev Gautam, president and CEO of Honeywell Performance Materials and Technologies, in the press release. "While Sparta's capabilities will initially help us expand our capabilities for our existing breakthrough initiative in life sciences, we plan to leverage Honeywell's global footprint and expertise to quickly expand Sparta's capabilities to serve other markets. We have strong conviction in the growth opportunities in the life sciences and pharmaceuticals space and in the synergies between Sparta and Honeywell both for Honeywell Connected Enterprise and Honeywell Forge as well as for Honeywell Process Solutions."

"Organizations need a quality management software solution with advanced digital capabilities that effectively automates, optimizes, and standardizes quality processes across the board," added Dana Jones, CEO of Sparta Systems, in the press release. "When you combine Sparta's leading QMS platform with Honeywell's existing process automation and software offerings, you create a highly differentiated, comprehensive solution that allows customers to focus more on the value-add activities that will accelerate their growth."

Source: Honeywell