Boeing acquires Spirit AeroSystems; plans asset sale to Airbus

Home
»
Stories
»
2024
»
July

GLOBAL INDUSTRY NEWS

Nepal Plane Crash Kills 18 After Takeoff - Airline Ratings

The National Right to Work Legal Defense Foundation announces NLRB-scheduled vote to remove union officials

Families recount the horror of MH17 ten years on - Airline Ratings

777-9 Enters Certification Flight Testing - AVweb

Kompass Kapital Sets New Course with Airshare Investment

SATS, SIA Engineering Company and Changi Airport Group to Trial Autonomous Buses at Changi Airport

Qatar Airways Landing An A350 In Hamburg Makes A Powerful Statement - Airline Ratings

EBAA Backs Dassault's Sustainability Lawsuit against European Commission | AIN

American Airlines Now Lets You Earn And Spend Miles On Concerts And Events

Boeing agrees to plead guilty to defrauding the FAA but escapes punishment sought by victims’ families | CNN Business

IATA partners with Aviation Sustainability Forum to tackle cabin waste

Qatar Airways In Talks To Buy 20% Of Virgin Australia - Airline Ratings

Boeing Will Buy Spirit AeroSystems For $4.7 Billion In Stock & Airbus Enters $559 Million Agreement For Its Parts

Bombardier Global Jet Production Stops in Toronto as Union Workers Strike | AIN

Justice Department To Offer Boeing a Plea Deal Related to Max Crashes

Plane diverted to Brazil after turbulence injures 30

As air taxi services make progress in U.S., no timeline set for liftoff over L.A. traffic

Global Industry News

Boeing acquires Spirit AeroSystems; plans asset sale to Airbus

Joe Petrie Editor & Chief | AviationPros

By Sky Industry News

Jul 1, 2024

Spirit AeroSystems has confirmed a merger agreement with The Boeing Company, where Boeing will acquire Spirit for $37.25 per share in Boeing common stock. This acquisition values Spirit at approximately $4.7 billion in equity and an enterprise value of about $8.3 billion, considering the company's net debt. The offer marks a 30% premium over Spirit's stock price on February 29, 2024.

Patrick M. Shanahan, president and CEO of Spirit, expressed confidence in the deal's benefits for shareholders and other stakeholders, highlighting the integration potential of both companies' manufacturing and engineering capabilities.

Additionally, Spirit disclosed a binding term sheet with Airbus SE to negotiate the sale of certain assets serving Airbus programs alongside Boeing's acquisition closure. Shanahan stated that this move would enhance program integration under Airbus ownership.

Get the Newsletter

Sign-up to receive weekly round up of news from Sky Industry News

By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Under the merger terms with Boeing, Spirit shareholders will receive shares based on an exchange ratio linked to Boeing's average share price prior to closing. The ratio varies depending on Boeing’s stock price but includes defined floor and ceiling limits.

The merger agreements with Boeing and Airbus received unanimous approval from Spirit's Board of Directors. Both deals are contingent upon regulatory approvals and shareholder consent, with expected completion by mid-2025.

Spirit also intends to divest operations in Subang (Malaysia), Prestwick (Scotland), and Belfast (Northern Ireland) related to non-Airbus programs.

Morgan Stanley & Co. LLC is leading financial advisement for Spirit, assisted by Moelis & Company LLC, while Skadden, Arps, Slate, Meagher & Flom LLP provides legal counsel.