ABB to divest Robotics division to SoftBank Group

ZURICH, SWITZERLAND, OCTOBER 8, 2025

• Strong customer value proposition by combining ABB Robotics’ leading technology and industry expertise with SoftBank’s state-of-the-art capabilities in AI, robotics and next-generation computing

• Divestment for an enterprise value of $5.375 billion reflects long-term strengths of the robotics business and creates immediate value for ABB shareholders

• ABB to deploy divestment proceeds in line with its capital allocation principles

Ad hoc Announcement pursuant to Art. 53 Listing Rules of SIX Swiss Exchange

ABB today announced it has signed an agreement to divest its Robotics division to SoftBank Group Corp. (TSE: 9984, “SoftBank Group”) for an enterprise value of $5.375 billion and not pursue its earlier intention to spin-off the business as a separately listed company. The transaction is subject to regulatory approvals and further customary closing conditions and is expected to close in mid-to-late 2026.

Peter Voser, Chairman of ABB, said: “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.”

ABB CEO Morten Wierod added: “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, Chairman & CEO of SoftBank Group Corp. 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 the fourth quarter 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 a 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 approximately $5.3 billion. The expected separation costs related to the divestment are approximately $200 million, about half of which was already included in our 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 - $500 million.

ABB Robotics is a leader in its industry at the core of secular and future automation trends and as communicated previously, there are limited business and technology synergies between the ABB Robotics business and the remainder of ABB’s businesses, with different demand and market characteristics. The ABB Robotics division has a workforce of approximately 7,000. With 2024 revenues of $2.3 billion it represented about 7 percent of ABB Group revenues and had an Operational EBITA margin of 12.1 percent.

ABB is a global technology leader in electrification and automation, enabling a more sustainable and resource-efficient future. By connecting its engineering and digitalization expertise, ABB helps industries run at high performance, while becoming more efficient, productive and sustainable so they outperform. At ABB, we call this ‘Engineered to Outrun’. The company has over 140 years of history and around 110,000 employees worldwide. ABB’s shares are listed on the SIX Swiss Exchange (ABBN) and Nasdaq Stockholm (ABB). www.abb.com

This information is information that ABB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 07.25 CET on October 8, 2025.

Important notice about forward-looking information

This press release includes forward-looking information and statements that are based on current expectations, estimates and projections These expectations, estimates and projections are generally identifiable by statements containing words such as “expects,” “believes,” “estimates,” or similar expressions. However, there are many risks and uncertainties, many of which are beyond our control, that could affect our ability to achieve any particular goal or objective, including whether this transaction will be consummated. Although ABB Ltd believes that its expectations reflected in any such forward-looking statement are based upon reasonable assumptions, it can give no assurance that those expectations or any particular goal, objective or result will be achieved.