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Boeing (NYSE:BA) is set to take control of part of Spirit AeroSystems’ (NYSE:SPR) operations in Belfast, Ireland, alongside rival Airbus (OTCPK:EADSF) (OTCPK:EADSY), as efforts to find an independent buyer for the site have so far fallen short.
Employees have been informed of the potential transition, which hinges on the completion of Boeing’s (NYSE:BA) complex acquisition of Spirit’s (NYSE:SPR) former Wichita operations, bringing the U.S. aerospace giant back into ownership of facilities it once spun off.
Meanwhile, Airbus (OTCPK:EADSF) (OTCPK:EADSY) is moving forward with plans to acquire several Spirit (SPR) assets, including the Belfast facility responsible for producing wings for its A220 aircraft and contributing engineering expertise to its A350 program.
If no third-party buyer emerges, Boeing (BA) will assume ownership of sections of the former Shorts Brothers site, which also manufactures components for Bombardier’s (OTCQX:BDRBF) (OTCQX:BDRAF) (OTCPK:BOMBF) business jets.
Spirit (SPR) currently employs around 3,500 people across six locations in Belfast, an operation it acquired from Bombardier (OTCQX:BDRBF) (OTCQX:BDRAF) (OTCPK:BOMBF) in 2020 in an effort to diversify its business beyond Boeing (BA).
Negotiations to sell the facility back to Bombardier (OTCQX:BDRBF) (OTCQX:BDRAF) (OTCPK:BOMBF) have reportedly stalled, the Financial Times reported, flagging the possible ownership shift.
Airbus (OTCPK:EADSF) (OTCPK:EADSY) emphasized the importance of finalizing the deal, stating that with no third-party buyer secured, it will take control of the A220 mid-fuselage program as outlined in its agreement with Spirit.
Bombardier (OTCQX:BDRBF) (OTCQX:BDRAF) (OTCPK:BOMBF), for its part, said it remains in discussions with all parties to ensure business continuity and is open to all potential solutions for the Belfast site’s future.
If no other buyer steps forward, Airbus (OTCPK:EADSF) (OTCPK:EADSY) will take control of the A220 mid-fuselage work, with Boeing (BA) absorbing the remaining operations.
The situation has also drawn regulatory scrutiny, with the U.K.’s Competition and Markets Authority launching a competition review of Boeing’s (BA) deal with Spirit (SPR). A decision is expected by August 28.