Japan’s Omron Corporation has agreed to acquire U.S. industrial computer maker OnLogic and its parent, Interlogic, in a $675 million cash transaction aimed at expanding Omron’s manufacturing-site digital transformation and physical AI business.
The Kyoto-based automation company said it signed the agreement on October 10, 2026, Japan time. The purchase price is an enterprise value on a debt-free, cash-free basis and is equivalent to about JPY 104.6 billion using an exchange rate of JPY 155 to the U.S. dollar.
Deal structure and timetable
Omron plans to complete the acquisition through a reverse triangular merger. A special-purpose company that Omron will establish in Delaware will merge into Vermont-based Interlogic, with Interlogic remaining as the surviving company and becoming a direct, wholly owned Omron subsidiary. OnLogic and Interlogic’s other subsidiaries will become indirect Omron subsidiaries.
The structure allows Omron to acquire all outstanding Interlogic shares in a single transaction. Interlogic’s shareholder base includes founders Lisa and Roeland Groeneveld, along with 167 officer and employee shareholders. Omron said it expects the merger to take effect around January 2027, subject to regulatory approvals and the other closing conditions in the definitive agreement.
Omron intends to fund the transaction primarily with cash on hand. The company said the deal’s effect on its consolidated results for the fiscal year ending March 2027 is expected to be immaterial.
Building a physical AI platform
OnLogic designs, develops and manufactures industrial computers intended for factory floors and other demanding operating environments. Its model combines configurable systems, build-to-order production and direct sales. More than 90 percent of its sales come from the Americas and Europe, according to Omron.
Omron wants to combine those industrial PCs with its sensing, robotics and high-precision control technologies. The company said the acquisition could accelerate development of next-generation physical AI platforms, support joint solutions for manufacturing-site digital transformation and create cross-selling opportunities across the companies’ customer bases.
Physical AI generally refers to artificial intelligence that can perceive and act in the physical world through machines such as robots and industrial equipment. In Omron’s case, industrial computers can provide the local computing layer needed to process factory data and coordinate automation equipment close to where production occurs.
The move also gives Omron a larger route to customers in the United States and Europe, while Omron plans to support OnLogic with its existing Asian business platform and factory-automation expertise. Reuters reported that Omron shares were roughly flat in Tokyo morning trading on October 13, while the Nikkei 225 was down about 2.2 percent.
OnLogic will retain its brand
OnLogic will continue to operate as an independent business within the Omron group and will keep its direct-to-customer sales model and brand. Its current management team, including Chief Executive Officer Sean Larkin, is expected to remain in place.
Founded in 2003, OnLogic had 301 employees and seven locations, including two manufacturing sites, as of March 24, 2026. Interlogic also owns businesses in the Netherlands, Germany, the United Kingdom, Taiwan and Malaysia.
The Interlogic group reported 2025 net sales of $154.2 million, up from $122.3 million in 2024 and above the $129.6 million recorded in 2023. EBITDA rose to $22.6 million from $11.6 million in 2024. Omron also disclosed adjusted EBITDA of $27.1 million for 2025 after adjustments identified during due diligence for costs it does not expect to recur following the acquisition.
The transaction adds another material deal to the competition around AI-enabled automation. Japanese technology groups have been investing in robotics, computing and other infrastructure needed to connect AI software with industrial machines, including SoftBank’s previously announced agreement to acquire ABB’s robotics business.