Boeing and Brazil’s Embraer have jointly announced the signing of a Memorandum of Understanding (MoU) for the formation of a strategic aerospace partnership. The proposed joint venture will see Embraer’s commercial aircraft and services business align, strategically, with Boeing’s commercial development, production, marketing and lifecycle services operations.
The joint venture will see Boeing hold an 80 percent stake, with Embraer holding the remaining 20 percent. Boeing’s stake in the venture is valued at US$3.8 billion based on the US$4.75 billion established as the full value of Embraer’s commercial operations.
Dennis Muilenburg, Boeing’s Chairman, President and Chief Executive Officer commented: “By forging this strategic partnership, we will be ideally positioned to generate significant value for both companies’ customers, employees and shareholders – and for Brazil and the United States. This important partnership clearly aligns with Boeing’s long-term strategy of investing in organic growth and returning value to shareholders, complemented by strategic arrangements that enhance and accelerate our growth plans.”