Boeing offers to buy 90% of Embraer

Desperate to get hold of a CSeries competitor and bring into its fold a manufacturer of smaller passenger jets, without the expense of developing one, Boeing has offered to buy 80-90% of Brazilian manufacturer Embraer.

The deal has not been welcomed by the Brazilian Government, worried about Embraer’s military manufacturing arm.

Boeing has gotten round this by offering to completely exclude the military arm of the company, and buy only the civil aviation business.

If successful it’s a much wider and deeper deal than that between Airbus and Bombardier. That only involves the CSeries, not the rest of Bombardier’s business. Boeing’s purchase of Embraer would be a major consolidation in aviation manufacturing.