Boeing holds preliminary discussions about acquiring supplier Spirit AeroSystems - WSJ
Boeing (NYSE:BA) is currently in discussions to acquire Spirit AeroSystems (NYSE:SPR), according to a report by The Wall Street Journal on Friday.
The publication states, citing people familiar with the matter, that the planemaker has had preliminary discussions with the troubled jet fuselage supplier it split off two decades ago. Spirit is said to have hired bankers to explore strategic options.
The WSJ cautioned that the talks may not result in a deal.
Both companies have been at the center of quality issues affecting 737 MAX jets. Boeing's manufacturing issues have been causing problems for Spirit, which has led to scrutiny of its production processes. A fuselage made by Spirit factory was involved Alaska Airlines door-plug blowout in January.
SPR is also reportedly exploring the sale of its Ireland-based operations that manufacture parts for Airbus, a rival of Boeing.
Furthermore, the WSJ says that privately, Boeing executives have stated that fixing up Spirit as a separate entity has proven difficult.
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