Key insights
- Honeywell is spinning off its Aerospace Technologies division into a new company, HONA. Shareholders of record on June 15th will receive 1 HONA share for every 2 HON shares held. The author missed the record date and is inquiring if buying HON and HONA separately after the June 29th distribution date is equivalent to holding HON before the record date. The market is expected to price in the spinoff, suggesting the total value should be similar regardless of when shares are acquired, though the author seeks further perspectives.
Honeywell is separating its Aerospace Technologies division into its own publicly traded company, $HONA (Honeywell Aerospace), with the distribution date set for June 29, 2026. The deal is that for every 2 $HON shares you held as of the June 15th record date, you receive 1 $HONA share while keeping your $HON shares.
Unfortunately I don't currently own any HON and missed the June 15th record date cutoff. I plan to buy into both companies eventually when I have the funds, but I'm wondering if people who held $HON before June 15th get a meaningfully better deal than buying both separately after the spinoff?
My understanding is that the market would have already priced the $HONA entitlement into $HON's share price before the record date, and that $HON should drop accordingly on June 29th to reflect the separation, so in theory the total value evens out either way. But I wanted to get some other perspectives since I'm still learning.