Proactive Investors - Boeing Co (NYSE:BA) is supposedly looking to cut Spirit AeroSystems’ ties to rival manufacturer Airbus Group (EPA:EPA:AIR) as it moves to take over the supplier.
Boeing previously owned Wichita-based Spirit, which builds the likes of fuselage parts for its jets but also wings for some Airbus planes, until 2005.
However, recent quality concerns with Boeing’s aircraft have seen the US-based manufacturer look to accelerate the process of retaking control of Spirit.
According to Reuters, such a deal could see Boeing offload or redeploy Spirit’s departments that supply Airbus, which generated a fifth of its revenue in 2023.
Though Boeing had previously mulled a takeover of Spirit, efforts to do so have reportedly been ramped up since a door panel fell from one of its Alaska Air-operated 737 Max 9s in January.
Cutting Spirit’s ties to Airbus, which includes wing-making for the European manufacturer's narrow-body A220 jets in Belfast, would rid Boeing of the loss-making business in Northern Ireland.
It could also prevent potential regulatory scrutiny over Boeing owning some of the supply chains of its main rival Airbus.
Both Boeing and Airbus have grappled with supply chain pressures since the pandemic, which have prompted delays to airline deliveries across the world.
Boeing has faced further scrutiny since the January incident from airlines and regulators alike, meanwhile.
Spirit which has a market cap of around US$3.8 billion, climbed 2.2% to US$33.69 in pre-market trading.
Boeing shares slipped 1.8% to US$177.80 in the meantime.
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