Boeing acquires Spirit AeroSystems in $4.7 billion deal

Boeing has announced its acquisition of Spirit AeroSystems for $4.7 billion in stock, marking a significant shift in its production strategy. The deal reunites Boeing with one of its key suppliers, aiming to enhance oversight and control over manufacturing operations, particularly in light of recent quality control issues. The agreement comes as Boeing continues to grapple with rebuilding trust following safety concerns surrounding its 737 Max jets. The all-stock transaction, valued at $4.7 billion, includes Spirit's debt, bringing the total to $8.3 billion. By bringing Spirit and Boeing together, the companies aim to integrate their manufacturing and engineering capabilities to enhance safety and quality systems. The move is seen as a strategic step to address the challenges Boeing has faced in recent years, including the crashes of two 737 Max jets and subsequent quality control issues. Spirit AeroSystems, a major supplier for Boeing, has been under scrutiny for quality problems, including the incident where a door-plug panel blew off a 737 Max 9 jet earlier this year. The acquisition by Boeing is expected to provide greater influence over Spirit's operations and improve production practices. The deal is set to close by the middle of the following year, with Boeing offering $37.25 per share for Spirit, a 30 percent premium over its stock price before the acquisition talks were announced. Boeing's move to acquire Spirit AeroSystems reflects its commitment to strengthening quality and safety in its production processes. The acquisition is part of Boeing's efforts to address mounting pressure to enhance its manufacturing practices and regain trust with regulators, airlines, and the public. As Boeing navigates through challenges in the aviation industry, the acquisition of Spirit is positioned as a strategic step towards improving its operations and ensuring a more robust quality control system.