Honeywell exec sees bargains amid turmoil

PARIS (Reuters) - Falling stock markets have put a lid on sky-high aerospace valuations and could create bargains for companies with spare cash, the top European aerospace executive at Honeywell International (HON.N) said on Tuesday. The world's largest maker of cockpit systems is looking for growth opportunities outside its historic U.S. market, especially in defense and space or general/business aviation, Paolo Carmassi, president for Europe, Middle East, Africa and India at Honeywell Aerospace, told Reuters. "A feeding frenzy was pushing valuations to a level that we thought was (excessive). We didn't see how acquisitions could be justified at these multiples," he said in an interview, asked about a wave of industry merger speculation earlier this year.

"The recent downturn certainly has put a cap on these valuations and if anything I suspect there would be some more palatable opportunities for people who have the firepower, the cash. Some (external) expansion could become more affordable."

(Reporting by Tim Hepher; Editing by Paul Bolding)