Boeing is in talks to acquire Spirit Aerosystems
Boeing (BA) is reportedly in discussions to repurchase Spirit Aerosystems (SPR), a key supplier of fuselages for its 737 Max aircraft, as both companies grapple with rectifying manufacturing deficiencies in Boeing’s flagship plane.
Shares of Spirit surged by 13% on Friday, contrasting Boeing’s 1% dip. Spirit Aerosystems, valued at $3.3 billion, refrained from commenting on the speculations, as did Boeing.
Boeing divested its Kansas and Oklahoma operations in 2005, leading to the formation of Spirit Aerosystems, which heavily relies on Boeing for 70% of its revenue and also serves Airbus.
News of the repurchase emerged following a recent incident where a section of a Boeing 737 Max 9 aircraft malfunctioned during an Alaska Airlines flight, prompting the FAA to temporarily ground all Max planes. This mishap adds to a series of setbacks plaguing Boeing’s best-selling jet, including production glitches and quality issues in fuselage components, as uncovered by ongoing investigations.
