(Bloomberg) -- Honeywell International agreed to acquire the security business of Carrier Global Corp. for an enterprise value of about $5 billion, which marks the biggest deal since 2015 for the maker of jet engines and gas detectors. 

The acquisition broadens Honeywell’s product offerings in security controls for buildings, which was an area lagging behind the larger market positions the company has in property management systems and fire systems, Honeywell Chief Executive Officer Vimal Kapur said in a Bloomberg TV interview with David Westin. 

“This deal strengthens our capability in security, which is I believe a high-growth category,” Kapur said in the interview. “So it fits right in the heart of our building automation business and prepares it for a higher growth rate in the future.”

It also marks the first major acquisition under Kapur, who took over as the company’s CEO in June. The new security business will add about $700 million to the building technologies unit, which had sales last year of $6 billion. 

Honeywell fell 1.6% to $194.61 in New York Friday. Carrier’s shares rose 4.5% to $55.27.

Investors have been pushing Honeywell to juice its growth through more and larger deals. This latest bolt-on addition is the largest since its $5.4 billion purchase of Elster Group under former CEO Dave Cote, which was announced in 2015 and closed in early 2016. 

The purchase price is about 13 times earnings before interest, taxes, depreciation and amortization, and the deal is expected to close in the third quarter next year. After counting cost savings. the deal will be accretive to cash earnings per share in the first year and have cash returns of 10% after five years, Kapur said. 

“It really hits all the metrics,” Kapur said. “Not only is it a strong fit in the strategy, it hits all our financial goals.”

When including cost-savings and the tax benefits, the deal will likely add about 3% to 4% to earnings, said Deane Dray, an analyst with RBC Capital Markets, in a note to clients. 

“The business brings an attractive growth and margin profile that will be accretive to Honeywell with valuable software content and strong sources of recurring revenue,” Dray said. 

Carrier had been looking for a buyer of the business as it focuses on heating and cooling equipment. The proceeds from this transaction will be used to pay down debt after the company in April agreed to buy Viessmann Climate Solutions, a German maker of heating systems, for €12 billion ($13 billion) in cash and stock.

Evercore Inc. is serving as financial adviser to Honeywell. Skadden, Arps Slate, Meagher & Flom, Simmons & Simmons and Womble Bond Dickinson are providing external legal counsel.

--With assistance from Ryan Beene and David Westin.

(Company corrects amount of added revenue in fourth paragraph; story originally published Dec. 8.)

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