ABB has announced that has signed an agreement to sell its robotics division to SoftBank, for an enterprise value of $5.375 billion, U-turning on its original intention to spin-off the division as a separately listed company.
The transaction is subject to regulatory approvals and closing conditions, and is expected to close in mid-to-late 2026.
Peter Voser, Chairman, ABB, commented: “SoftBank’s offer has been carefully evaluated by the Board and Executive Committee and compared with our original intention for a spin-off. It reflects the long-term strengths of the division, and the divestment will create immediate value to ABB shareholders. ABB will use the proceeds from the transaction in line with its well-established capital allocation principles. Our ambitions for ABB are unchanged and we will continue to focus on our long-term strategy, building on our leading positions in electrification and automation.”
Morten Wierod, CEO, ABB, said: “SoftBank will be an excellent new home for the business and its employees. ABB and SoftBank share the same perspective that the world is entering a new era of AI-based robotics and believe that the division and SoftBank’s robotics offering can best shape this era together. ABB Robotics will benefit from the combination of its leading technology and deep industry expertise with SoftBank’s state-of-the-art capabilities in AI, robotics, and next-generation computing. This will allow the business to strengthen and expand its position as a technology leader in its field.”
Masayoshi Son, CEO and Chairman, SoftBank Group, said: “SoftBank’s next frontier is Physical AI. Together with ABB Robotics, we will unite world-class technology and talent under our shared vision to fuse Artificial Super Intelligence and robotics – driving a groundbreaking evolution that will propel humanity forward.”
As a result of the signing of the agreement, ABB will adjust its reporting structure and move to three business areas. As of Q4 2025, the Robotics division will be reported as Discontinued operations. At the same time, the Machine Automation division, which together with ABB Robotics currently forms the Robotics & Discrete Automation business area, will become part of the Process Automation business area.
Upon closing, the divestment will result in a non-operational pre-tax book gain of approximately $2.4 billion, with expected cash proceeds, net of transaction costs, of around $5.3 billion. The expected separation costs related to the divestment are approximately $200 million, about half of which are already included in ABB’s 2025 guidance. ABB’s current best estimate of the transaction-related cash tax outflows in respect of the local business carve-out is in the range of $400 million to $500 million.
ABB Robotics is a key player in the automation industry, positioned at the centre of long-term industrial and technological trends. The division has a workforce of around 7,000 and, with 2024 revenues of $2.3 billion, represents approximately 7% of ABB Group’s total revenues, with an Operational EBITA margin of 12.1%.
