On Monday, April 21, ABB Ltd. experienced a notable rise in its stock price during intraday trading following the company’s announcement regarding the spin-off of its robotics division. This major news was released after market hours on Thursday, leading to a delayed reaction as trading was paused for the subsequent three days.
ABB Stock Price Movement
ABB shares opened at ₹5682.95 on the Bombay Stock Exchange (BSE), reflecting a 2% increase from the previous closing price of ₹5567.95. Throughout the day, the stock continued its upward trend, reaching an intraday high of ₹5682.90, marking a gain of over 2%.
- Current Price: ₹5682.95
- Previous Close: ₹5567.95
- Intraday High: ₹5682.90
While ABB’s stock is still trading significantly below its 52-week peak of ₹9,200 recorded in June 2024, it has notably rebounded from its 52-week low of ₹4,590.25, which occurred on April 7, 2025. Over the past five years, ABB has delivered impressive returns, up more than 533%, making it a multibagger for investors.
ABB’s Spin-Off Plans
In a strategic move, ABB announced on Thursday its plan to initiate a 100% spin-off of its robotics unit, set to be proposed at the Annual General Meeting in 2026. The aim is for this newly independent entity to commence trading as a separate company by the second quarter of 2026.
Chairman Peter Voser stated, “The board believes that by listing ABB Robotics separately, both entities can enhance their focus on customer value, growth, and talent acquisition. This strategic decision will enable optimized governance and capital allocation, allowing ABB to concentrate on its core strategy in electrification and automation.”
Performance of ABB Robotics
ABB Robotics has consistently performed well compared to its competitors, showcasing resilience with double-digit margins since 2019 under ABB’s decentralized operational model. The market appears to have stabilized, promoting growth in orders for the robotics segment after a period of volatility marked by supply chain challenges and pre-buying behaviors.
Key Takeaways
- ABB’s Current Strategy: Focus on electrification and automation.
- Market Response: Positive stock reaction following the announcement.
- Future Outlook: Expected separation of ABB Robotics to boost both companies’ performance.
By implementing this spin-off, ABB aims to create a more agile and focused approach for its robotics division, potentially unlocking greater value for shareholders and customers alike.
