Honeywell Plans to Split Up After Pressure From Elliott

The video discusses the trend of breaking up large conglomerates like GE and Honeywell to enhance shareholder value. It highlights the benefits of creating pureplay companies, making them easier to invest in through ETFs. The case of Honeywell is examined, where its aerospace division is being separated to create a more focused business. The remaining Honeywell entity, with its diverse automation sectors, may undergo further splits to streamline operations. The video emphasizes the strategic advantages and challenges of these corporate restructurings.

What factors should be considered when determining how much debt the new aerospace company will take on?

In what ways could further splits of the remaining Honeywell company be beneficial or detrimental?