Honeywell to acquire business, technology from Aspen
Honeywell has announced a definitive agreement to acquire the intellectual property of the Hysys modeling software and the Operator Training Simulation (OTS) business from Aspen Technology Inc.
Phoenix, AZ — Honeywell has announced a definitive agreement to acquire the intellectual property of the Hysys modeling software and the Operator Training Simulation (OTS) business from Aspen Technology Inc . The move is expected to extend the capabilities of Honeywell's Experion Process Knowledge System (PKS) by enhancing its ability to gather data throughout the plant and coupling it with domain knowledge embedded in Hysys models and advanced solutions. The combined solution will place information in front of decision-makers in an actionable format.
The addition, Honeywell says, helps customers turn data into knowledge with:
Better process performance that helps the plant process achieve the maximum output/yield;
Better asset effectiveness by deciding when/where/how to operate, maintain, or repair equipment;
Better business decision-making when choosing which orders to take, which plant to use, when to deliver, and at what price; and
Better operator effectiveness through training on startup, shutdown, upsets, and abnormal circumstances.
'Today's process operations are increasingly complex,” said Jack Bolick, president of Honeywell Process Solutions. “Operators not only manage profitability, they also work to comply with regulations and product quality constraints. Powerful, integrated, automation-based solutions and a well-trained staff are an essential requirement. This acquisition not only allows us obtain great new additions to our product portfolio, but we gain an incredible amount of process knowledge and experience from the new employees joining Honeywell, and we are committed to ensuring a seamless transition of in-progress customer projects.'
The acquisition helps Honeywell provide a comprehensive suite of advanced solutions for its customer base. It will also be able to further enhance its Shadow Plant simulation offerings by merging capabilities offered by the Aspen OTS and Hyprotech technologies, and leveraging customers' own intellectual property embedded in existing Hysys models.
The acquisition is expected to close within the next 30 to 90 days, pending Federal Trade Commission approval. According to transaction terms, Honeywell will pay AspenTech $6 million cash and assume $4 million of accounts receivable from AspenTech. Additional terms include:
1. Retention of a license to the Hyprotech products by AspenTech that provides for the continuation of its rights to market, sell, and develop Hyprotech products;
2. Three-year agreement not to compete in operator training services by AspenTech; and
3. Two-year support agreement under which AspenTech will provide Honeywell with source code to new releases of the Hyprotech products transferred.
—Jeanine Katzel, senior editor, Control Engineering, email@example.com