Rotork Shares Jump to All-Time High on ABB's $5.6 Billion Takeover
By Nina Kienle
Rotork shares jumped to an all-time high after the U.K. automation company agreed to a 4.14 billion-pound ($5.6 billion) takeover offer from Swiss industrial group ABB.
In European morning trade, Rotork shares rose 67% at 485.40 pence, the highest ever for the company, which has been listed on the London Stock Exchange for decades. Meanwhile, ABB shares were 2.9% lower at 80.74 Swiss francs.
ABB said Thursday it would offer 503 pence a Rotork share in cash. The price represents a 73% premium to Rotork's closing price on Wednesday and 63% to its average price over the past three months.
Rotork said its directors intend unanimously to recommend the acquisition to shareholders.
ABB said it has no plans to change Rotork's presence in the U.K and that the company expected to operate as its own division under the Swiss group's automation business.
The deal looks positive for ABB, as it strengthens the group's automation portfolio through a high-quality business that serves the oil-and-gas, chemical and water-and-power markets, analysts at RBC Capital Markets wrote in a note to clients.
Write to Nina Kienle at nina.kienle@wsj.com
(END) Dow Jones Newswires
July 16, 2026 04:59 ET (08:59 GMT)
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