ABB agreed on 16 July to buy Rotork, the UK-listed maker of electric actuators and flow control equipment, for 503 pence a share in cash, valuing it at about £4.1bn and implying an enterprise value of about $5.5bn.
Why ABB Ltd is buying Rotork plc
ABB said Rotork's flow control and instrumentation products complement its automation portfolio and strengthen its position at the field-device layer. Rotork, which had 2025 revenue of about $1bn and an adjusted operating margin of 24.6%, will run as a separate division in ABB's Automation business area, adding about 3% to group revenue and about 12% to the business area.
“We are convinced of the compelling strategic fit of the transaction that will expand our automation offering at the field device layer generating significant value for customers, employees, and shareholders of both companies.”
Deal terms and financing
The offer is 503p in cash plus a permitted interim dividend of up to 3p, a 73.0% premium to the 15 July closing price and 62.7% to the three-month VWAP. ABB will fund it from existing cash of about $5.8bn and committed bank facilities, supported by about $4.8bn of expected net proceeds from selling its Robotics business to SoftBank.
Regulatory approvals and timing
The deal is being implemented by a court-sanctioned scheme of arrangement. Shareholders approved it at meetings on 3 September, with 96.01% of ordinary scheme shares voted in favour. Completion is expected in the first half of 2027, subject to court sanction and customary regulatory approvals.
Market context
Rotork serves oil and gas, chemical, water, power and industrial customers, including data centres, and grew organic revenue by an average 8% a year from 2022 to 2025. ABB said it has no current plans to significantly change Rotork's UK presence.
