Airbus has signed a definitive agreement to acquire critical industrial assets from Spirit AeroSystems, focusing on its commercial aircraft programs.
This strategic move aims to enhance supply chain stability and ensure sustainable production for Airbus’ key projects.
The deal, finalized after a binding term sheet announced on July 1, 2024, includes a compensation payment of $439 million from Spirit AeroSystems to Airbus, subject to adjustments at closing.
Scope of the Airbus Acquisition
Under the agreement, Airbus will take ownership of several Spirit AeroSystems facilities. These include the Kinston, North Carolina site, which produces A350 fuselage sections, and the St. Nazaire, France facility, also dedicated to A350 fuselage components.
Additionally, Airbus will acquire the Casablanca, Morocco site, responsible for A321 and A220 parts. In the U.S., Airbus will oversee A220 pylon production in Wichita, Kansas.
In Belfast, Northern Ireland, Airbus will manage A220 wing and mid-fuselage production, unless Spirit AeroSystems finds a buyer for the mid-fuselage operations. Airbus will also take over A320 and A350 wing component production in Prestwick, Scotland.
Meanwhile, Spirit AeroSystems plans to sell its Subang, Malaysia facility to a third party. The financial terms of the deal align with Airbus’ 2025 guidance, issued on February 20, 2025, ensuring no significant impact on its EBIT Adjusted or Free Cash Flow before Customer Financing estimates.
To support Spirit AeroSystems’ ongoing work on Airbus programs, Airbus has agreed to provide $200 million in non-interest-bearing credit lines through a separate memorandum of agreement. This financial support underscores Airbus’ commitment to maintaining strong collaboration with its supplier.
Spirit AeroSystems History with Boeing
In July 2024, Boeing agreed to reacquire Spirit AeroSystems, a key supplier, for $8.3 billion, including $4.7 billion in stock. The move was made to enhance quality control and supply chain stability for its 737 MAX and other aircraft.
Spirit, which Boeing spun off in 2005, also produced critical components like A350 fuselage sections for Airbus, representing 19% of its 2023 revenue.
To facilitate the deal, Airbus acquired Spirit’s Airbus-related assets in North Carolina, France, Morocco, and elsewhere for a nominal $1, with Spirit paying Airbus $559 million in compensation.
This allowed Airbus to secure its supply chain while Boeing reintegrated Spirit’s operations. The move ensures Airbus maintains production stability across key aircraft programs.
Closure of Airbus Deal
The acquisition is set to close in the third quarter of 2025, pending regulatory and customary approvals. By integrating these assets, Airbus aims to secure a more reliable and efficient supply chain for its commercial aircraft, including the A320, A350, and A220 models.
This move not only strengthens Airbus’ operational capabilities but also positions the company for long-term financial stability in its production processes.
This acquisition signals Airbus’ proactive approach to addressing supply chain challenges while reinforcing its leadership in the global aerospace industry.
By aligning key production assets under its control, Airbus will be able to deliver high-quality aircraft more efficiently, meeting growing demand in the commercial aviation sector.
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