US-based industrial product and software producer Honeywell unveiled a strategic investment vehicle called Honeywell Venture Capital yesterday and plans to provide about $100m to startups through the unit.
Honeywell provides a range of products ranging from aerospace systems, chemicals and fuels to safety and monitoring equipment and home building and control technology. It has made strategic acquisitions in the past but done very little in the way of corporate venturing.
The $100m figure represents Honeywell’s expectation of the fund’s initial size, and Honeywell Venture Capital will target companies that could grow more quickly through access to the firm’s resources, including its intellectual property and advanced manufacturing.
Murray Grainger will lead the unit as managing director, having taken on a variety of roles since he joined Honeywell in 2004. He was most recently vice-president of business development, M&A and integration for the firm.
Darius Adamczyk, Honeywell’s president and CEO, said: “Investments in early-stage high-growth companies are a great way to supplement Honeywell’s track record as an innovation leader, leverage our research and development capabilities, and provide access to new solutions for our customer.
“We will invest in companies from around the world with emerging or disruptive technologies that either complement our technologies or can help us serve our customers more effectively. This will help us to stay out in front of trends while enhancing our culture of innovation and entrepreneurialism.”