Bombardier Exits Airbus Joint Venture

By Jesse Sokolow on 13 February 2020
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Airbus announced that it – along with the government of Quebec – has acquired Bombardier’s 34% stake in the A220 joint venture formed in 2018.

Airbus, Bombardier, and the government of Quebec also announced a new ownership structure under which Airbus’ stake in the venture would rise to 75% and the government’s stake would increase to 25%.

“This transaction supports our efforts to address our capital structure and completes our strategic exit from commercial aerospace,” said Alain Bellemare, Bombardier’s CEO.

Airbus acquired 50.01% of the joint venture in what was then Bombardier’s CSeries program in 2018. The CSeries aircraft was renamed the A220 in keeping with Airbus’ branding after the formation of the joint venture.

Bombardier is receiving $591 million from Airbus, and Airbus is cancelling Bombardier warrants owned by Airbus, while releasing Bombardier of its future funding commitments to the joint veture.

(Photo: Accura Media Group)

Accura News

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