Honeywell and Allied Signal have signed a merger agreement that will make them a global technology company with revenues of $25 billion. The merged entity will also gain product and technical leadership across a wide range of industries. It will be named Honeywell, and have its headquarters in Morristown, New Jersey.

Honeywell''s major activity is in the avionics business, while Allied Signal manufactures electronic devices and avionics for aerospace industries. Allied Signal was in talks with AMP Inc., which failed as AMP merged with Tyco International Ltd.

Against this background, R. Makhija, managing director and chief executive officer of Tata Honeywell, the joint venture between Tata Industries and Honeywell, has asserted that the global merger will not affect the operations of the Indian joint venture.

Tata Honeywell is in the industrial automation and control, and homes and building control systems.