ABB Sells Robotics Arm to SoftBank in $5.4 Billion Deal
Divestment sharpens ABB's focus on core electrification and automation businesses, unlocking significant shareholder value.
Swiss industrial technology leader ABB Ltd. has agreed to sell its robotics division to Japan's SoftBank Group in a landmark deal with an enterprise value of $5.375 billion. The move marks a strategic shift for ABB, allowing the company to streamline its portfolio and double down on its core electrification and automation businesses.
The divestment pivots from ABB's earlier plans to spin off the robotics unit as a separate entity. Instead, the sale is positioned to create more immediate value for shareholders. , the transaction allows ABB to monetize the asset while ensuring the robotics business continues to grow under new ownership.
Financially, the deal is expected to be highly accretive for ABB. The company anticipates net cash proceeds of approximately $5.3 billion after transaction costs and taxes. ABB will record a non-operational pre-tax book gain of around $2.4 billion upon closing. These proceeds will be deployed in line with the company's capital allocation priorities, which include a mix of organic investments, potential acquisitions in its core business, and returns to shareholders.
The strategic rationale centers on focusing ABB's resources where it sees the most significant growth and synergies. The company noted that the robotics division had limited operational overlap with its other units. In a , SoftBank stated its intention to combine ABB Robotics' leading technology with its own advanced AI and next-generation computing capabilities to further solidify its leadership in the automation space.
The transaction is subject to customary closing conditions and regulatory approvals and is expected to be completed in mid-to-late 2026. Until the deal closes, ABB will continue to operate the robotics division and report its performance within its financials.