Honeywell–a Fortune 100 technology company that delivers industry specific systems–announces it is acquiring privately held Sparta Systems–a provider of enterprise quality management software (QMS), for the life sciences industry–for $1.3 billion in an all-cash transaction from New Mountain Capital.
The acquisition will further strengthen Honeywell's leadership in industrial automation, digital transformation systems, and enterprise performance management software, says the company.
Sparta Systems will combine its AI-enabled software as a service (SaaS) QMS offering with Honeywell Forge–an enterprise performance system–and Experion Process Knowledge System to enhance value for life sciences customers in the U.S., Europe, and Asia.
Honeywell will leverage its global presence, Honeywell Forge, and Sparta's expertise to introduce integrated systems–including QMS offerings for life sciences and adjacent industries.
Honeywell says its customers will benefit from advanced digital QMS systems to help them proactively achieve better quality, and result in improved new therapies, faster time to market, better business and patient outcomes, and effective regulatory compliance.
"Sparta's TrackWise Digital and QualityWise.aiSM are a welcome addition to Honeywell's enterprise performance management software, Honeywell Forge, and will further enhance the link between quality and production data for life sciences manufacturers," says Que Dallara, president and chief executive officer of Honeywell Connected Enterprise. "Our combined offerings will make it easier for customers to gain critical insights from manufacturing and quality data that can improve their manufacturing processes while ensuring product quality, patient safety, and supply chain continuity."
Honeywell will continue to enhance TrackWise Digital QMS by adding AI and machine learning capabilities that augment human decision making. Honeywell will also add IoT-enabled connectivity between quality and operational data to detect manufacturing anomalies and triage quality events in near real time. These innovations should help customers proactively address quality to improve patient safety and effective regulatory compliance.
The acquisition is expected to close by the end of the first quarter of 2021 and is subject to certain regulatory approvals and other customary closing conditions. There is no change to Honeywell's 2020 financial outlook as a result of the acquisition.