Boeing Strengthens Control with Completion of Key Supplier Acquisition

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Boeing has finalized the strategic acquisition of supplier Spirit AeroSystems, a move central to its corporate overhaul. The aerospace giant is bringing critical production steps back in-house, aiming to move beyond past quality control issues. This significant structural shift coincides with operational wins in its defense division and supportive analyst commentary, providing momentum for the company's restructuring efforts.

Alongside the acquisition news, Boeing's Chief Financial Officer, Jay Malave, provided updated financial targets. Management anticipates holding approximately $29 billion in liquid assets by the end of 2025. For the following year, 2026, the company is aiming to generate free cash flow in the low single-digit billions of dollars.

The defense segment is concurrently demonstrating strength. A successful test of the autonomous "MQ-28 Ghost Bat" drone, conducted in collaboration with the Royal Australian Air Force, recently showcased advanced technical capabilities. Reports indicate Australia is poised to place an order for six of these drones, a contract valued at roughly $663 million.

Analyst Perspective and Market Performance

Market experts are noting signs of operational stabilization. Analysis firm Jefferies reaffirmed its buy rating on Boeing stock on Monday, maintaining a price target of $255. Meanwhile, IATA Director General Willie Walsh highlighted the company's improved delivery performance relative to competitor Airbus. In current trading, the shares are stable at €177.00, showing a marginal increase of 0.01%.

Securing the Supply Chain

The transaction, valued at approximately $8.3 billion including assumed debt, represents one of Boeing's most substantial structural moves in recent years. Regaining full control over fuselage production for the 737 program and key structural components for the 767, 777, and 787 Dreamliner models is the core objective.

This reintegration is designed to stabilize a supply chain that has shown vulnerability and to allow Boeing direct oversight of manufacturing quality. As part of the deal, around 15,000 employees across five sites will transition to Boeing. European facilities that manufacture parts for rival Airbus were divested as part of the agreement for $439 million.

The completion of this supply chain reintegration marks a pivotal step for Boeing as it systematically addresses production bottlenecks. With new defense contracts on the horizon and a solid liquidity position, the company's focus now shifts entirely to operational execution and achieving its cash flow targets in the coming year.