Bombardier Jumps on Reported Approach to Airbus on CSeries

  • Jet's tardy debut has been a drain on planemaker's cash
  • Analyst sees need for `deep pockets,' but doubts a sale

Attendees take photographs of the new Bombardier Inc. CS100 airplane during a flying demonstration at the company's facility in Toronto, Ontario, Canada, on Sept. 10, 2015.

Photographer: Kevin Van Paassen/Bloomberg
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Bombardier Inc. surged after Reuters reported that the planemaker had approached Airbus Group SE about acquiring a majority stake in the struggling CSeries jetliner.

The proposal involves Airbus helping Bombardier complete development of the aircraft in exchange for a controlling interest in the CSeries program, Reuters reportedBloomberg Terminal, citing people familiar with the matter whom it didn’t identify. The talks were exploratory, and neither company has made a decision, Reuters reported.