Boeing in discussions over acquisition of jet manufacturer Embraer
Date: 2017-12-22   Author: Dhananjay Punekar  Category: #news

Boeing in discussions over acquisition of jet manufacturer Embraer

The Boeing Company, a U.S. based firm manufacturing & selling airplanes, has grabbed headlines this week for its proposed takeover of a key jet maker. Reportedly, Boeing is amidst serious discussions to acquire Embraer S.A., a major manufacturer of commercial, defense, & agricultural aircrafts based in Brazil. According to authentic sources though, the acquisition can see the light of the day only post the approval of the Brazilian government. Industry analysts anticipate that if the deal is approved, it would result in the consolidation of the passenger jet duopoly across the aviation sector.

According to a key government official in Brazil, the President of the country would offer full support if Boeing intends to establish a partnership in the country, however, an acquisition bid is likely to be rejected. Reports cite that this is Boeing’s biggest acquisition post its purchase of McDonnell Douglas, a U.S. based aerospace manufacturing firm & defense contractor, twenty years back.

Experts claim that this move is aimed at countering a threat from Airbus SE, which signed an agreement with Bombardier in October 2017 to acquire a major stake in the new CSeries jets manufactured by the latter. As per reports, post the announcement of the discussion related to Boeing’s takeover of Embraer, the latter’s shares of the latter increased by over 20% in New York and closed at USD 24.42 per share. Boeing’s stocks fell by 1% with individual share price last evaluated at USD 295.03.

Reports cite that with the acquisition of the Brazilian firm, Boeing for the first time will expand its manufacturing base out of the U.S. With the emerging trend of mergers & acquisitions witnessed across the aviation business to acquire competitive edge, Boeing’s decision is likely to strengthen its position in aerospace sector over the coming years, claim analysts.



About Author


Dhananjay Punekar

Dhananjay Punekar

Dhananjay currently works as a content writer at AlgosOnline. A post graduate in mathematics as well as business administration, he worked as a process executive in Infosys BPO Limited before switching his professional genre. Following his childhood passion, he opted fo...

Read More

More from Dhananjay


Post Recommendents

Atomwise to collaborate with Hansoh Pharma for AI-based drug discovery
Author: Pankaj Singh

Atomwise Inc., a leading developer of healthcare software that uses AI to discover medicines and agricultural compounds, recently announced that it will be collaborating with Hansoh Pharmaceutical Group Company Limited, a leading Chinese biopharma...


Valsoft acquires Commsoft OASES and enters the aviation vertical
Author: Pankaj Singh

  • Since the company’s first association with airline sector over 40 years ago, Communications Software has been developing the MRO IT system continually.
  • London-based Snyk secures €63Mn from Accel led funding round
    Author: Saipriya Iyer

    The company intends to use this funding to fuel its plans for the next phase of global growth.

    Snyk, a developer-first security company based in London, has repor...