By Dana Mattioli and Thomas Gryta
Honeywell International Inc. is pursuing an acquisition of water-filtration company Evoqua Water Technologies, which is laying the groundwork for an initial public offering, according to people familiar with the matter.
Evoqua, owned by private-equity firm AEA Investors LP, has been running a so-called dual-track process, simultaneously preparing for an IPO while running a takeover auction, the people said. Even though Evoqua filed publicly for the IPO this week, bidders including Honeywell remain interested in possibly buying the company, some of the people said.
Evoqua is worth around $3 billion, including debt, one of the people said. It is likely to become clear this month whether Evoqua goes public or is sold, this person said.
Evoqua helps municipalities and industrial customers with wastewater treatment. The company has a hand in treating more than 70% of U.S. municipal wastewater capacity, according to its website.
Write to Dana Mattioli at [email protected] and Thomas Gryta at [email protected]