Honeywell to Buy Measurex

Honeywell Inc., a global manufacturer of control systems for home and industry, will acquire Measurex Corp. for $600 million in cash. The transaction is expected to strengthen Honeywell’s position as a supplier of systems, services and products for the worldwide pulp and paper manufacturing industry, the companies said in a joint statement. Under the terms of the agreement, which was approved by the boards of both companies, Minneapolis-based Honeywell agreed to buy all of the outstanding shares of Measurex for $35 a share. Cupertino-based Measurex stock soared $10.25 to close at $34.50 on the New York Stock Exchange on Monday. Honeywell shares lost 62.5 cents to close at $69.375, also on the NYSE. Honeywell employs 53,000 people in 95 countries, with 1996 sales of $7.3 billion. Measurex has offices in 34 countries and had 1996 sales of $287 million.