By Foo Yun Chee BRUSSELS (Reuters) -Boeing is set to gain EU antitrust approval for its $4.7 billion acquisition of Spirit AeroSystems, with remedies to address EU concerns expected to include sales
Boeing Poised for EU Approval of $4.7 Billion Spirit Acquisition
By Foo Yun Chee
BRUSSELS (Reuters) -Boeing is set to gain EU antitrust approval for its $4.7 billion acquisition of Spirit AeroSystems, with remedies to address EU concerns expected to include sales of some of the latter's businesses, people with direct knowledge of the matter said.
Boeing announced the deal in July last year, aiming to streamline its operations and improve quality control, years after spinning off the key airline supplier.
Boeing's remedies to address EU competition worries are expected to be those the companies announced at the time of the acquisition agreement, the people said.
These are the sale of Spirit's loss-making Europe-focused activities to Airbus and the divestment of Spirit's operations in Prestwick, Scotland, and in Subang, Malaysia, that support Airbus programmes, as well as those in Belfast that do not support Airbus programmes.
The European Commission, which acts as the EU's competition enforcer, is scheduled to make a decision by October 14.
Boeing and Spirit AeroSystems declined to comment.
Britain's competition agency cleared the deal without conditions in August.
Boeing has long considered buying back its former subsidiary, which analysts say has struggled to thrive independently despite diversifying into work for Europe's Airbus and others.
The decision to go ahead comes as Boeing tries to resolve a sprawling corporate and industrial crisis that has engulfed one of the industry's key suppliers.
(Reporting by Foo Yun CheeEditing by Mark Potter)
