Boeing must divest Spirit AeroSystems assets to proceed with merger, says US FTC

Dec 3 (Reuters) – The U.S. Federal Trade Commission said on Wednesday it would require Boeing to divest significant Spirit AeroSystems assets to resolve competition concerns around its $8.3 billion acquisition of the airline supplier.

The FTC’s proposed order requires the U.S. planemaker to divest parts of Spirit that supply aerostructures to its European rival  Airbus. The three companies have already negotiated Airbus buying parts of Spirit.

The divestment would address the FTC’s concerns that the merger would allow Boeing to unfairly control Airbus’ supply chain.

(Reporting by Bhargav Acharya and Ryan Patrick Jones in Toronto; Editing by Doina Chiacu and David Gregorio)