The basics:

• Honeywell files Form 10 for Solstice Advanced Materials spinoff
• Company to be headquartered in Morris Plains
• Board includes leaders from 3M, Alcoa, Cummins, Baker Hughes

Honeywell spinoff Solstice Advanced Materials, which will be headquartered in the Garden State, is rapidly taking shape.

Honeywell announced Aug. 21 it filed a Registration Statement with the Securities and Exchange Commission. The company also unveiled the incoming board for the spinoff, which is slated for the fourth quarter of this year.

Last October, Honeywell revealed its plan to separate its Advanced Materials business into an independent publicly traded company. In March, Honeywell announced that Solstice Advanced Materials, which will be a sustainability focused, specialty chemicals and materials pure play, will be headquartered in Morris Plains.

Honeywell relocated its global corporate headquarters from Morris Plains to Charlotte, N.C., in 2019.

Solstice Advanced Materials, in that same March statement, also announced the leadership team:

• Rajeev Gautam, non-executive chairman
• David Sewell, president and CEO
• Tina Pierce, chief financial officer

About the spinoff

The regulatory filing introduces the spinoff company.

“This Form 10 filing marks a pivotal step toward the exciting launch of Solstice Advanced Materials as an innovation-led independent company,” said Vimal Kapur, chairman and CEO of Honeywell. “With Honeywell’s legacy and a purpose-built management team and Board, Solstice is set up for a very bright future.”

Key things to know:

• Spinoff will be a differentiated advanced materials company – which is a leading global provider of refrigerants, semiconductor materials, protective fibers, and health care packaging
  • Generated net sales of $3.8 billion
  • Net income of $0.6 billion
  • Adjusted EBITDA of $1.1 billion in 2024
• Features brands such as Solstice, Genetron, Aclar, Spectra, Fluka and Hydranal
• Has 3,900 employees, 21 manufacturing sites and four R&D sites
• Will be organized into two operating segments:
  • Refrigerants & Applied Solutions (RAS)
  • Electronic & Specialty Materials (ESM)
• Solstice will host an investor day Oct. 8 in New York City

Preparing for the next chapter

“Today is a milestone that underscores Solstice’s tremendous momentum as we prepare for our next chapter as a public company,” Sewell said in an Aug. 21 statement. “The end markets we serve are underpinned by attractive secular growth trends, including regulatory-driven sustainability transitions in cooling and building solutions and the proliferation of artificial intelligence and advanced computing.

“We look to harness these trends by focusing on customer-partnered innovation and high-return opportunities that strengthen our ability to serve customers, establish new differentiated technology platforms, and enhance our resilience through market cycles. We believe Solstice is well-positioned to unleash growth and unlock substantial long-term value for all stakeholders.”

Today is a milestone that underscores Solstice’s tremendous momentum as we prepare for our next chapter as a public company.
– David Sewell, president and CEO, Solstice Advanced Materials

Board unveiled

Honeywell also announced the future Solstice Advanced Materials board on Aug. 21, which will be led by Gautam, former president and CEO of Honeywell’s Performance Materials and Technologies business.

Moving in

The New York Red Bulls’ state-of-the-art training complex is taking over Honeywell’s former home in Morris Township. Read the background here, and see the site’s progress here.

The 10 directors include a number of prominent leaders with experience and expertise in the industrial, technology, chemicals and materials sectors.

The board includes:

• Gautam, independent chair
• Sewell
• Peter Gibbons
  Recently served as group president of Enterprise Supply Chain at 3M
• Fiona Laird
  Chief human resources officer and senior vice president, communications at Marathon Petroleum Corp.
• Rose Lee
  Recently retired as president and CEO of Cornerstone Building Brands
• William Oplinger
  President and CEO of Alcoa Corp.
• Sivasankaran “Soma” Somasundaram
  Served as president and CEO of ChampionX Corp., which was acquired in July
• Matthew Trerotola,
  Recently retired as CEO and Chair of Enovis Corp. – formerly Colfax
• Patrick Ward
  Served as CFO of Cummins Inc. from 2008 to 2019
• Brian Worrell
  Served as CFO of Baker Hughes

Expected completion

The new board is slated to assume its role following the completion of the spinoff later this year.

“This is an exceptional and strategically diversified group of directors, who will bring cross-sector insight and proven leadership across the industries and technologies that will shape Solstice’s future,” said Kapur. “With their guidance, Solstice will be well-positioned to drive growth and deepen customer relationships from day one.”

Sewell said Solstice will enter this next chapter with strong momentum, a clear strategic vision – and a team ready to deliver. “I look forward to working with Rajeev and this accomplished group of directors as we prepare to launch an industry-leading company defined by innovation, operational excellence, and a sharp focus on long-term value creation for our stakeholders,”  he said.