MORRIS PLAINS, N.J.—Honeywell recently announced that Resideo will be the corporate name of the Honeywell Homes product portfolio and ADI global distribution businesses when they become a stand-alone, publicly traded company following completion of a spin that is expected by the end of 2018.
Honeywell will license its brand to Resideo under a long-term agreement for use in its home comfort and security hardware, and software solutions for all channels.
“As a standalone, independent business, Honeywell’s Homes and ADI Global Distribution businesses will benefit from a more targeted focus and ability to invest to meet the needs of its customers,” Mike Nefkens, president and CEO of Honeywell Homes, the business that will become Resideo, told Security Systems News via email. Additionally, “the spun business will be able to have focused strategic decision making to meet the needs of its customers, including the professional security dealers.”
Resideo will have a large network of professional partners and customers who buy and support the Honeywell Home line of products, Honeywell announced, including more than 110,000 contractors. As an independent company, Resideo will support their growth by investing in sales and technical training, improving channel partner marketing and related programs to enhance their ability to meet the needs of homeowners, the company said.
The company’s network also includes more than 3,000 distributors and 1,200 original equipment manufacturers, retailers and online merchants, according to Honeywell’s announcement. More than 4.7 million of Resideo’s customers use connected devices in their homes, which provide them app-based access to controls, monitoring and alerts. After the spin, the new company will already have approximately 30 million installed sensors generating more than 250 billion data transmissions annually, the company estimated.
The ADI Global Distribution business has more than 200 physical locations in nearly 20 countries, offering more than 350,000 products to more than 100,000 contractors. ADI Global Distribution will retain its name and remain as a free-standing distribution business of Resideo.
The name Resideo comes from combining the words “residence,” meaning one’s home, and “presidio,” meaning fortress, according to Nefkens. “When we thought about a name for the new company, we knew it had to reflect our strong heritage, the promise of connected technology, and the deep devotion people have for protecting what they hold most dear,” Nefkens said.
The spin off is subject to customary conditions and regulatory approvals, including final approval by Honeywell’s board of directors.Topic: Residential Tags: Honeywell, Resideo, Mike Nefkens