Honeywell has inked an agreement to acquire BASF’s nylon fiber business and $170 million in exchange for Honeywell’s engineering plastics business. Also as part of the pact, Honeywell will pay $80 million to BASF within one year of the transaction’s close.

As a result of the deal, Honeywell expects increased utilization of its Hopewell, Va., caprolactam manufacturing facility, which will supply nylon feedstock to the combined business as well as its fiber and plastics customers.

The transactions are expected to close in the first half of 2003, subject to regulatory approval in several jurisdictions.