Deals
Airbus Snaps Up Bombardier Jet in New Challenge to Boeing
- European planemaker will contribute no cash when deal closes
- Pact opens new front in the battle for global aircraft sales
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Airbus SE agreed to acquire a majority stake in Bombardier Inc.’s C Series program and will start assembling the jetliner in the U.S., vaulting a technologically advanced but slow-selling plane onto the front lines of the battle with Boeing Co. over global aircraft sales.
Without putting up a dime at closing, Airbus will take just over half of a partnership controlling the C Series. The European planemaker’s marketing muscle and production expertise boosts the viability of the all-new aircraft after more than $6 billion in development costs forced Bombardier to rely on government assistance.