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Boeing Announces $8.3 Billion Definitive Agreement to Acquire Spirit AeroSystems

 |  July 1, 2024

Boeing announced on Monday that it has entered into a definitive agreement to acquire Spirit AeroSystems in an all-stock transaction valued at approximately $4.7 billion, or $37.25 per share. Including Spirit’s last reported net debt, the total transaction value reaches approximately $8.3 billion, according to Boeing.

Boeing President and CEO Dave Calhoun highlighted the strategic importance of the merger. “We believe this deal is in the best interest of the flying public, our airline customers, the employees of Spirit and Boeing, our shareholders, and the country more broadly,” Calhoun stated. “By reintegrating Spirit, we can fully align our commercial production systems, including our Safety and Quality Management Systems, and our workforce to the same priorities, incentives, and outcomes—centered on safety and quality.”

The acquisition includes nearly all Boeing-related commercial operations of Spirit, as well as additional commercial, defense, and aftermarket operations. Boeing emphasized its commitment to maintaining operational continuity for Spirit’s customers and programs, including collaborations with the U.S. Department of Defense and Spirit’s defense customers.

In a related development, Airbus SE and Spirit have agreed on a binding term sheet under which Airbus will acquire certain commercial work packages currently performed by Spirit. This agreement is contingent upon the finalization of definitive agreements and regulatory approvals, and it will proceed concurrently with the closing of the Boeing-Spirit merger.

Moreover, Spirit plans to divest some of its operations, including facilities in Belfast, Northern Ireland; Prestwick, Scotland; and Subang, Malaysia.

The transaction is expected to close in mid-2025, subject to the sale of Spirit’s operations related to certain Airbus commercial work packages and the satisfaction of customary closing conditions, including regulatory and Spirit shareholder approvals.

Source: English News