By Foo Yun Chee BRUSSELS (Reuters) -Boeing secured EU antitrust approval on Tuesday for its $4.7 billion acquisition of Spirit after agreeing to sell some Spirit businesses to address competition
Boeing Receives EU Approval for $4.7 Billion Spirit Acquisition
By Foo Yun Chee
BRUSSELS (Reuters) -Boeing secured EU antitrust approval on Tuesday for its $4.7 billion acquisition of Spirit after agreeing to sell some Spirit businesses to address competition concerns.
The deal announced in July last year aims to help Boeing streamline its operations and improve quality control, years after it spinned off the key airline supplier.
Boeing offered remedies after the European Commission, which acts as the EU antitrust enforcer, said the deal would have significantly reduced competition in the global aerostructure market and in the large commercial aircraft sector.
The Commission said it accepted Boeing's offer to divest all Spirit's businesses that currently supply aerostructures to Airbus to the European rival, confirming a Reuters story last week.
Boeing will also sell Spirit's site in Malaysia that supplies aerostructures to Airbus to Composites Technology Research Malaysia Sdn Bhd, allowing the Malaysian company to enter the market.
"Boeing's commitments will preserve competition in this crucial market and enable the entry of a new rival, and ensure commercial aircraft makers get the parts they need at competitive prices," EU antitrust chief Teresa Ribera said in a statement.
(Reporting by Foo Yun Chee)
