Analysis
China reportedly blocks SoftBank's $5.4 billion purchase of ABB's robotics unit, and ABB says the Chinese ban covers the business in China
ABB says China's security review office banned the acquisition of its robotics business in China; the FT cites the NDRC. No official reason is reported.
On November 5, 2026, the Financial Times reported, citing several people familiar with the matter, that China's National Development and Reform Commission (NDRC) told SoftBank it will block its purchase of ABB's robotics division, a deal valued at $5.375 billion. ABB says SoftBank informed it that China's foreign investment security review office prohibited the acquisition of the ABB Robotics business in China. The sources report no official reason or published Chinese decision. This is neither investment nor legal advice.
The essentials
- Report: the Financial Times, citing sources, says China's NDRC told SoftBank the deal will be blocked (Investing.com via Yahoo Finance, Startup Fortune).
- ABB: says SoftBank informed it that China's Office of the Working Mechanism for Foreign Investment Security Review prohibited the acquisition of the ABB Robotics business in China, and that ABB and SoftBank are working constructively on the deal (ABB).
- Deal: signed on October 8, 2025, at an enterprise value of $5.375 billion, the "$5.4 billion" of the headlines (Startup Fortune).
- Reason: none official is reported.
- Not established: whether the two descriptions of the Chinese body refer to the same one, the reach of the ban beyond China, whether the deal is over, the outcome of the US review.
What is reported?
According to Startup Fortune, SoftBank signed on October 8, 2025 to buy ABB's robotics division at an enterprise value of $5.375 billion. The outlet says the unit has more than 7,000 engineers and about 500,000 installed robots worldwide (reported figures). On November 5, the Financial Times reported that Chinese regulators told SoftBank they will not allow the deal; the Yahoo Finance version names the NDRC as the body that conveyed it.
Startup Fortune notes that China is not required to explain its decisions in detail, and none of the reports gives a reason.
Source: ABB; Startup Fortune; Financial Times via Yahoo Finance.
What does ABB say?
In its release "Update on divestment of ABB Robotics", ABB recalls the October 2025 agreement at an enterprise value of $5.375 billion and says the deal remains subject to regulatory approvals and customary closing conditions, with the approval process managed by SoftBank. ABB says it was informed by SoftBank that China's Office of the Working Mechanism for Foreign Investment Security Review prohibited the acquisition of the ABB Robotics business in China. It adds that ABB and SoftBank are in close dialogue and working constructively on the transaction.
The Financial Times' sources name the NDRC; ABB names the foreign investment security review office. We do not say that these two descriptions designate the same body, nor that they exclude each other. According to ABB, the ban concerns the acquisition of the business in China; its reach over the rest of the transaction is not established.
What happens next?
According to the Financial Times, SoftBank is trying to determine what went wrong and whether it can seek approval again. Startup Fortune adds that SoftBank is reportedly working out whether a revised structure could win a second review, that neither company has announced a public plan, and that ABB is left holding a division it wants to exit.
Where do the other approvals stand?
Startup Fortune says the European Commission cleared the deal without conditions in March, and that the US review had not concluded.
Source: ABB; Startup Fortune; Financial Times via Yahoo Finance.
What is not established?
Whether the NDRC and the foreign investment security review office are the same body or act together; the reasons; the reach of the ban beyond the business in China; whether the deal is definitively over or can be revised or refiled; the outcome of the US review; any timetable.
Comparison table
| Point | What the sources say | Status |
|---|---|---|
| Deal | Signed October 8, 2025, enterprise value $5.375 billion | Reported (Startup Fortune) |
| European Union | Cleared without conditions in March | Reported (Startup Fortune) |
| United States | Review not concluded | Reported (Startup Fortune) |
| China (Financial Times) | NDRC told SoftBank the deal will be blocked | Reported by the Financial Times, citing sources |
| China (ABB) | SoftBank informed ABB that the foreign investment security review office prohibited the acquisition of the business in China | Stated by ABB |
| ABB and SoftBank | Say they are in close dialogue and working constructively on the transaction | Stated by ABB |
| Reason | No official reason given | Not established |
| Next steps | SoftBank studying whether it can seek approval again | Reported; no public plan |
Frequently asked questions
Has China officially blocked the deal?
ABB says SoftBank informed it that China's foreign investment security review office prohibited the acquisition of the ABB Robotics business in China, and the Financial Times, citing sources, says the NDRC told SoftBank the deal will be blocked. The sources cited mention no published Chinese decision and no official reason.
Why would China block it?
No reason is reported. Startup Fortune notes that China is not required to explain its decisions in detail.
Is the deal over?
Not established. ABB says it and SoftBank are in close dialogue and working constructively on the transaction; the reach of the ban beyond the business in China is not established.
Method and limits
Sources as of November 5, 2026. The Chinese prohibition comes from ABB's release, which relays what SoftBank told it, and from the Financial Times, citing sources, as relayed by Investing.com and Startup Fortune; each is attributed to its source. "$5.4 billion" is the headline figure; the enterprise value is $5.375 billion. We verified nothing independently and give no advice. For context on Chinese robotics funding, see our article on Chinese embodied AI startups' funding.
Sources
- ABB, "Update on divestment of ABB Robotics"
- Investing.com via Yahoo Finance (Financial Times report)
- Startup Fortune
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