ABB to Buy Rotork in $5.5 Billion Deal to Strengthen Electrification Business
By Nina Kienle
Swiss industrial-technology company ABB said it would acquire London-listed Rotork for around $5.5 billion including debt and cash in a push to strengthen its focus on its electrification and automation businesses.
ABB on Thursday said that under the agreement, shareholders would receive 5.03 pounds ($6.81) for each Rotork share, a 60% premium to the company's three-month average share price.
Rotork shareholders will receive an interim dividend for the period through June 30, ABB said.
ABB expects Rotork to add 3% to its revenue with immediate growth to the operational earnings before interest, taxes, and amortization margin.
On completion of the deal, Rotork will operate as a separate division within the automation business area, ABB said.
Separately, ABB said second-quarter net profit rose to $1.23 billion from $1.15 billion in the prior year, on revenue of $9.475 billion, up 12% on a comparable basis.
Write to Nina Kienle at nina.kienle@wsj.com
(END) Dow Jones Newswires
July 16, 2026 02:01 ET (06:01 GMT)
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