ABB has announced plans to spin off its robotics arm as a separately listed business.

The global technology giant, which specialises in electrification and automation, said that a decision on proposals for 100 per cent spin-off will be made at its annual general meeting next year.

The company's intention is for the new business to trade as a separately listed company during the second quarter of next year.

ABB Robotics develops intelligent automation solutions, including Autonomous Mobile Robots, software, and AI to a broad range of industries. 80 per cent of the company's products are software or AI enabled.

The robotics division, which has around 7,000 employees, had revenues of $2.3 billion in 2024, representing around seven per cent of group revenues.

“ABB Robotics is a leader in its industry and there are limited business and technology synergies between the ABB Robotics business and the remainder of ABB divisions, with different demand and market characteristics," said ABB chief executive, Morten Wierod. "We believe this change will support value creation in both the ABB Group and in the separately listed pure play robotics business.”

According to ABB, the robotics arm is a strong performer for the business, proving double-digit margin resilience in most quarters since 2019.

ABB chairman Peter Voser said that the board believes the plans will optimise the ability for both companies to “create customer value, grow and attract talent.”

“Both companies will benefit from a more focused governance and capital allocation,” continued Voser. “ABB will continue to focus on its long-term strategy, building on its leading positions in electrification and automation.”

The company says the move comes as the market has seemingly stabilised after an "unusually volatile" market situation, including the normalisation of order patterns after the period of pre-buys when the supply chain was strained.

If shareholders decide in favour of the proposal, the spin-off is planned to be done through a share distribution, whereby ABB's shareholders will receive shares in the company to be listed as a dividend in-kind in proportion to their existing shareholding.

From the first quarter of 2026, the Machine Automation division, which together with ABB Robotics currently forms the Robotics & Discrete Automation business area, will become a part of the Process Automation business area.

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