Strategic Partnership between Embraer and Boeing Approved by the Brazilian Government
SÃO PAULO, Brazil and CHICAGO, the USA(BulgarianMilitary.com) – Embraer announced on 10th January 2019 that the company together with Boeing have welcomed the approval by the Brazilian Government of the strategic partnership between the two companies, which is expected to position the companies to accelerate growth in global aerospace markets, learned BulgarianMilitary.com
The approval by the Government of Brazil comes after Embraer and Boeing approved in December terms for the joint venture that will involve the commercial aircraft and services operations of Embraer. It has been agreed Boeing to hold an 80 percent ownership stake in the new company and Embraer – 20 percent.
As soon as the Board of Directors of Embraer ratifies its prior approval, both companies will execute definitive transaction documents. The closing of the transaction is subject to shareholder and regulatory approvals and customary closing conditions. Having in mind that the approvals are received in due time, the transaction is expected to be closed by the end of this year.
In another joint venture, the terms of which have been also agreed between Embraer and Boeing, Embraer will hold a 51 percent stake in the joint venture, and Boeing – the remaining 49 percent. Through that joint venture the companies will promote and develop new markets for the multi-mission medium airlift KC-390.
The Embraer KC-390 is a medium-size, twin-engine jet-powered military transport aircraft under development by the Brazilian aerospace manufacturer Embraer. It is able to perform aerial refuelling and to transport troops and cargo. The Embraer KC-390 is the heaviest aircraft made by the company as of the moment, which will be able to transport up to 26 tonnes (29 tons) of cargo, including wheeled armoured fighting vehicles. Its first prototype was ready out from the Embraer subsidiary plant, Embraer Defence and Security, at Gavião Peixoto, São Paulo on 21st October 2014 and flew for the first time on 3rd February 2015.
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Source: Embraer, Wikipedia