A report from Reuters indicates that the European Union is set to approve the deal in which Boeing would reacquire Spirit AeroSystems and spin-off work for Airbus and Bombardier to those entities. The deal, valued at $4.7 billion, requires anti-competitive sign-offs from both the US and EU regulators. It has previously passed US scrutiny, and is awaiting approval from the EU to move forward.
The spin-off requirements may be more stringent than those required by US regulators, and are likely to clear the way to complete the long-awaited closing, as the transaction was agreed to in July of last year, 15 months ago.
Completing the transaction will clear the way for the take-over of key elements of the supply chain by the OEMs that have been impacted over the last year. That can only help with industry-wide delays that have continued since the global pandemic.
The Bottom Line:
This is welcome news and will enable the transaction to quickly close, after 15 months of waiting. Â It’s about time!
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