ABB agrees to buy Rotork in deal with $5.5 billion enterprise value

RTTNews·16 Jul 2026·Read original

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M&A · Partnership Machinery

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Summary · why it matters

ABB has agreed to acquire British actuator manufacturer Rotork in a deal with an enterprise value of around $5.5 billion. Under the recommended cash offer, Rotork shareholders would receive 503 pence per share, a premium of about 60% to the latest three-month average share price, plus an interim dividend of up to 3 pence per share. The transaction, expected to close in the first half of 2027, is subject to Rotork shareholder approval and regulatory clearances. Rotork, which recorded around $1 billion in revenues and a 24.6% adjusted operating profit margin in 2025, will operate as a separate division within ABB's Automation business area and is projected to add roughly 12% to that unit's revenues. ABB plans to fund the deal with existing cash and committed bank facilities, alongside approximately $4.8 billion in net cash proceeds from the signed divestment of its Robotics business to SoftBank.

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