ABB to Acquire Rotork in $5.5 Billion Flow Control Deal
ABB has agreed to acquire Rotork in a $5.5 billion deal, expanding its automation and flow control portfolio across the oil and gas, industrial and infrastructure sectors.
(P&GJ) — ABB has agreed to acquire U.K.-based Rotork for approximately $5.5 billion, a move that expands its automation portfolio with intelligent flow control and electric actuator technologies serving the oil and gas, water, power and industrial sectors.
Under the recommended all-cash offer, ABB will pay 503 pence per share for the entire issued and to-be-issued share capital of Rotork. The offer represents a premium of about 60% over Rotork's average share price during the previous three months.
Rotork manufactures electric actuators, flow control and instrumentation products used in mission-critical industrial applications. The company generated approximately $1 billion in revenue in 2025 with an adjusted operating margin of 24.6%.
ABB said the acquisition will strengthen its automation business by adding intelligent field devices that complement its existing control systems and software. Following the transaction, Rotork will operate as a separate division within ABB's Automation business.
The company expects Rotork to increase ABB's total revenue by about 3% while immediately contributing to its Operational EBITA margin. Within ABB's Automation business, Rotork is expected to add roughly 12% in revenue.
ABB CEO Morten Wierod said the acquisition strengthens the company's automation capabilities while positioning Rotork for future growth.
"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," Wierod said.
Rotork Chair Dorothy Thompson said the board unanimously supports the transaction, citing ABB's commitment to operate the company as a separate division and maintain its U.K. presence.
"The Board believes that the offer from ABB reflects the high quality of Rotork and provides an attractive opportunity for shareholders while supporting the company's long-term growth," Thompson said.
ABB said it intends to maintain Rotork's operations in the United Kingdom, where the company serves as a manufacturing and engineering hub.
The acquisition will be funded through ABB's existing cash resources and committed bank facilities. The company also expects to receive approximately $4.8 billion in proceeds from the pending sale of its robotics business to SoftBank later this year.
The transaction has been unanimously approved by Rotork's board and is expected to close in the first half of 2027, subject to shareholder approval and customary regulatory clearances.