Boeing: towards a joint venture with Embraer
(CercleFinance.com) - Boeing today announces the signing of a Memorandum of Understanding with Embraer for a strategic partnership, by the creation of a joint venture of commercial aircraft that would 80%- owned by Boeing and 20% by Embraer.
The business would value 100% of Embraer's commercial aircraft business at 4.75 billion dollars, or 3.8 billion dollars for Boeing's interest. The partnership would have an accretive effect on Boeing's EPS in 2020.
Negotiations for a definitive agreement will continue over the coming months. Subject to certain authorisations, including those of shareholders and the Brazilian government, the deal should be finalised towards the end of 2019.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The business would value 100% of Embraer's commercial aircraft business at 4.75 billion dollars, or 3.8 billion dollars for Boeing's interest. The partnership would have an accretive effect on Boeing's EPS in 2020.
Negotiations for a definitive agreement will continue over the coming months. Subject to certain authorisations, including those of shareholders and the Brazilian government, the deal should be finalised towards the end of 2019.
Copyright (c) 2018 CercleFinance.com. All rights reserved.