diff --git a/src/components/Combobox/Combobox.jsx b/src/components/Combobox/Combobox.jsx
index 7f7c61a6c4..feb6a25591 100644
--- a/src/components/Combobox/Combobox.jsx
+++ b/src/components/Combobox/Combobox.jsx
@@ -96,9 +96,15 @@ const Combobox = forwardRef(
 
         let index = 0;
         return Object.keys(optionsByCategories).map((categoryId, categoryIndex) => {
-          return (
-            <div role="group" aria-labelledby={`combox-category-${categoryId}`} key={categoryId}>
-              {withCategoriesDivider && categoryIndex !== 0 && <Divider />}
+          const withDivider = withCategoriesDivider && categoryIndex !== 0;
+          return [
+            withDivider ? <Divider className="combobox_category-divider" key={`${categoryId}-divider`} /> : null,
+            <div
+              role="group"
+              aria-labelledby={`combox-category-${categoryId}`}
+              key={categoryId}
+              className={cx({ ["combobox_category--with-divider"]: withDivider })}
+            >
               <ComboboxCategory category={categories[categoryId]} />
               {optionsByCategories[categoryId].map(option => {
                 const renderedOption = (
@@ -120,7 +126,7 @@ const Combobox = forwardRef(
                 return renderedOption;
               })}
             </div>
-          );
+          ];
         });
       }
       return filterdOptions.map((option, index) => {
@@ -141,17 +147,18 @@ const Combobox = forwardRef(
         );
       });
     }, [
-      shouldScrollToSelectedItem,
-      optionLineHeight,
-      filterValue,
-      filterdOptions,
       categories,
+      filterdOptions,
+      filterValue,
+      withCategoriesDivider,
+      optionRenderer,
       activeItemIndex,
       isActiveByKeyboard,
       onOptionClick,
       onOptionEnter,
       onOptionLeave,
-      optionRenderer
+      optionLineHeight,
+      shouldScrollToSelectedItem
     ]);
 
     const onChangeCallback = useCallback(
diff --git a/src/components/Combobox/Combobox.scss b/src/components/Combobox/Combobox.scss
index 1ff2c64e57..c9f65e8d4c 100644
--- a/src/components/Combobox/Combobox.scss
+++ b/src/components/Combobox/Combobox.scss
@@ -7,6 +7,19 @@
   display: flex;
   flex-direction: column;
   @include font-general-text();
+  position: relative;
+
+  .combobox_category {
+    &--with-divider {
+      margin-top: var(--spacing-medium);
+    }
+
+    &-divider {
+      position: absolute;
+      width: calc(100% + 16px);
+      margin-left: -12px;
+    }
+  }
 
   &.sticky-category {
     .combobox-category {
diff --git a/src/components/Combobox/__tests__/__snapshots__/combobox-snapshot-tests.jest.js.snap b/src/components/Combobox/__tests__/__snapshots__/combobox-snapshot-tests.jest.js.snap
index 97273f553d..fff49fd5a8 100644
--- a/src/components/Combobox/__tests__/__snapshots__/combobox-snapshot-tests.jest.js.snap
+++ b/src/components/Combobox/__tests__/__snapshots__/combobox-snapshot-tests.jest.js.snap
@@ -513,6 +513,7 @@ exports[`Combobox renders correctly with divider 1`] = `
     </div>
     <div
       aria-labelledby="combox-category-cat1"
+      className=""
       role="group"
     >
       <div
@@ -547,13 +548,14 @@ exports[`Combobox renders correctly with divider 1`] = `
         </div>
       </div>
     </div>
+    <div
+      className="monday-style-divider combobox_category-divider monday-style-divider--horizontal"
+    />
     <div
       aria-labelledby="combox-category-cat2"
+      className="combobox_category--with-divider"
       role="group"
     >
-      <div
-        className="monday-style-divider monday-style-divider--horizontal"
-      />
       <div
         aria-label="cat2"
         className="combobox-category"