SP's Airbuz - - Newescebnt -

The two global aero­space ma­jors Boe­ing of the US and Em­braer of Brazil have signed a Mem­o­ran­dum of Un­der­stand­ing to es­tab­lish a strate­gic part­ner­ship to form a joint ven­ture con­sist­ing of the com­mer­cial air­craft and ser­vices busi­ness of Em­braer that would strate­gi­cally align with Boe­ing’s com­mer­cial devel­op­ment, pro­duc­tion, mar­ket­ing and life­cy­cle ser­vices op­er­a­tions. Un­der the terms of the agree­ment, Boe­ing will hold 80 per cent stake in the joint ven­ture and Em­braer the re­main­ing 20 per cent. The agree­ment will al­low Boe­ing to fill a cru­cial gap in its port­fo­lio and al­low Em­braer to lever­age Boe­ing’s world­wide mar­ket­ing and man­u­fac­tur­ing net­work. Fi­nal­i­sa­tion of the fi­nan­cial and op­er­a­tional de­tails of the part­ner­ship and ne­go­ti­a­tion of de­fin­i­tive trans­ac­tion agree­ments are ex­pected to con­tinue in the com­ing months. Upon ex­e­cu­tion of these agree­ments, the trans­ac­tion would then be sub­ject to share­holder and reg­u­la­tory ap­provals, in­clud­ing from the Gov­ern­ment of Brazil.

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