Boeing in talks to reacquire Spirit Aerosystems after spate of quality defects
Boeing is in talks to buy back Spirit Aerosystems, which makes fuselages for Boeing’s 737 Max jets, according to a person familiar with the matter, as both companies scramble to stamp out manufacturing flaws on the top-selling plane.
Boeing is in talks to buy back Spirit Aerosystems, which makes fuselages for Boeing’s 737 Max jets, according to a person familiar with the matter, as both companies scramble to stamp out manufacturing flaws on the top-selling plane.
Shares of Spirit were up 13% as of early afternoon on Friday, while shares of Boeing were down about 1%. Spirit Aerosystems had a market capitalization of $3.3 billion as of Thursday’s close.
“We do not comment on market speculation,” a spokesperson for Spirit Aerosystems told CNBC. Boeing also declined to comment.
Boeing in 2005 spun off operations in Kansas and Oklahoma that became the present-day Spirit Aerosystems. About 70% of Spirit’s revenue last year came from Boeing, and about a quarter comes from making parts for Boeing’s main rival, Airbus.
The repurchase talks were first reported by the Wall Street Journal.
Rating: 5