Boeing Officially Completes $8.3 Billion Acquisition of Spirit AeroSystems

Boeing has officially completed its acquisition of Spirit AeroSystems, marking a significant strategic shift as the aerospace giant reintegrates its primary fuselage supplier. The all-stock transaction, valued at approximately $8.3 billion including net debt, formally closes the chapter on the two companies’ two-decade separation. As of today, Spirit AeroSystems operates as a direct, wholly-owned subsidiary of The Boeing Company.

The completion of the deal, originally announced in mid-2024, is a central pillar of Boeing’s effort to strengthen product quality and safety standards following a series of production challenges. By bringing Spirit’s manufacturing operations back in-house, specifically the Wichita, Kansas, facility responsible for the 737 MAX fuselage, Boeing aims to exert tighter control over its supply chain and production stability.

Reintegrating the Supply Chain

This acquisition reverses Boeing’s 2005 decision to divest its Wichita division, which subsequently became Spirit AeroSystems. According to the company’s press release, the reunification is designed to align manufacturing systems and safety protocols across the production line. Boeing leadership has emphasized that the merger is essential for ensuring the long-term quality of its commercial airplanes, particularly the 737 and 787 programs.

Under the terms of the agreement, Spirit shareholders will receive Boeing common stock in an exchange ratio valued at $37.25 per share, representing an equity value of approximately $4.7 billion. With the transaction closed, Spirit AeroSystems (SPR) common stock will cease trading and will be delisted from the New York Stock Exchange.

“We believe this deal is in the best interest of the flying public, our airline customers, the employees of Spirit and Boeing, our shareholders and the country more broadly.”

, Boeing statement regarding the acquisition agreement

The Airbus Carve-Out

A critical component of the deal involved separating Spirit’s work for Airbus, Boeing’s primary competitor. Concurrent with the closing, Airbus has acquired specific Spirit assets that support its own programs. These include the production of A350 fuselage sections in Kinston, North Carolina, and St. Nazaire, France, as well as A220 work packages in Belfast, Northern Ireland, and Casablanca, Morocco.

According to updated terms cited in industry reports and the final agreement, Spirit AeroSystems agreed to compensate Airbus approximately $439 million to take over these loss-making operations. This “carve-out” ensures that Boeing does not retain sensitive production lines for its main rival, while Airbus secures the stability of its own supply chain.

AirPro News analysis

The reintegration of Spirit AeroSystems represents one of the most significant industrial corrections in modern aerospace history. For years, the fragmented supply chain was viewed as a cost-saving measure, but recent production defects highlighted the risks of outsourcing critical structural components. By reabsorbing Spirit, Boeing is effectively signaling that engineering oversight and quality assurance now take precedence over the financial engineering that drove the 2005 divestiture. The immediate challenge for Boeing will be stabilizing the Wichita workforce and modernizing the tooling infrastructure without disrupting current delivery rates.

Frequently Asked Questions

What happens to Spirit AeroSystems stock?
Spirit AeroSystems (SPR) stock has ceased trading. Shareholders will receive Boeing (BA) shares based on the exchange ratio detailed in the merger agreement (between 0.18 and 0.25 shares of Boeing for each Spirit share, depending on the weighted average share price at closing).

Does Boeing now build Airbus parts?
No. The deal included a complex separation of assets. Airbus has acquired the specific plants and operations that build components for the A350 and A220, ensuring Boeing does not control the supply chain for its competitor.

Why did Boeing buy Spirit back?
The primary driver was quality control. Following the January 2024 door plug incident and other production issues, Boeing determined that direct ownership of its fuselage supplier was necessary to ensure safety standards and production stability.

Sources

• Boeing