Boeing’s Multi-Billion Dollar Offering Waiting on SEC Nod
- Planemaker is seeking at least $10 billion to shore up funding
- Company needs to fix balance sheet hurt by strike, output cut
Boeing is in need of cash after burning through more than $8 billion during the first half of the year as it slowed production to address quality shortfalls.
Photographer: Qilai Shen/BloombergBoeing Co. filed to sell as much as $25 billion of equity and bonds this week, but the planemaker is still awaiting what is typically immediate clearance from regulators, a move that could take days or even weeks and inserts another layer of uncertainty into the process.
The company’s shelf registration on Tuesday, a filing to pre-register the securities, had not been deemed effective by the US Securities and Exchange Commission, according to the document. While that clearance is typically automatic for companies as big as Boeing, regulatory issues surrounding its disclosures about aircraft safety may prevent it from getting speedy approval, securities lawyers said.