UK Watchdog Clears Boeing’s $4.7B Spirit Aerosystems Acquisition

Seeking Alpha is reporting that the United Kingdom’s Competition and Markets Authority (CMA) has formally cleared Boeing’s $4.7 billion all-stock acquisition of Spirit Aerosystems. This decision comes after the CMA concluded the review phase of an investigation into the acquisition. This was completed ahead of the August 28 deadline.

The approval comes at a critical point for Boeing, which has been struggling financially and faced reputational damage due to quality control issues. Reintegrating Spirit AeroSystems, which was spun off from Boeing in 2005, is viewed as a key component in Boeing’s goal to improve production control, as well as boost the company’s overall financial performance.

The UK’s Probe Of The Acquisition

Photo: Thiago B Trevisan | Shutterstock

The CMA initiated a formal inquiry into the acquisition on June 30, 2025, using the Enterprise Act’s phase 1 process. The main purpose of the inquiry was to determine the impact that the acquisition would have on the rest of the industry, and in particular, whether competition would be significantly reduced as a result.

Key concerns over the acquisition included Boeing’s increased control over Spirit’s UK operations, such as those in Belfast and Prestwick. These facilities also host major operations related to Airbus’s programs, including but not limited to the Airbus A220 and Airbus A350. As such, the CMA invited public comments and stakeholder input to fully judge the impact of the acquisition.

The CMA elected not to pursue stage 2 of the inquiry and ended phase 1 earlier than the original deadline of August 28. This signals the UK’s confidence that Boeing’s acquisition will not negatively impact other players in the UK aircraft industry, especially notable given how Boeing and Airbus have split various Spirit assets.

Why Reintegrate Spirit Aerosystems Into Boeing

Photo: Robin Guess | Shutterstock

Spirit Aerosystems was originally just the Boeing factory in Wichita, Kansas, that produced Boeing 737 fuselages. In 2005, under the leadership of former McDonnell Douglas CEO Harry Stonecipher, Boeing sold the Wichita plant, along with facilities in Tulsa, Oklahoma, and McAlester, Texas, to Onex Corporation. This created Spirit Aerosystems.

As an independent company, Spirit aimed to diversify its business by performing work for other manufacturers. These included names such as Airbus, Bombardier, and Gulfstream. However, Spirit has consistently struggled to make money, and the company has become infamous for poor quality control. This was especially notable with the Boeing 737, and these issues most prominently came to light after a door plug blew out on a new Alaska Airlines Boeing 737 MAX 9 in January 2024.

By reintegrating Spirit into Boeing, this gives Boeing more control and more oversight of its manufacturing processes for the 737. This is critical given the popularity of the 737 MAX, Boeing’s most popular aircraft. Furthermore, Boeing has also experienced quality control issues with the 787 Dreamliner, and the Boeing 777X has been delayed by six years, though the certification process is progressing.

What To Expect Next From This Acquisition

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Boeing shares rose after the announcement, as the CMA’s decision has helped instill confidence in Boeing’s recovery after the company’s tumultuous start to the 2020s. Boeing expects to close the deal with Spirit Aerosystems by the end of 2025 and does not expect any major regulatory hurdles in the acquisition.

Airbus is acquiring assets and facilities related to its own programs. The Belfast, Northern Ireland, facility primarily produces wings for the Airbus A220, while the plant in Prestwick, Scotland, assembles wings for the Airbus A320 and Airbus A350. Numerous other facilities across the world perform work for Airbus, all of which are set to be taken over by the European planemaker. Other assets will either be purchased by Boeing or another buyer.

In an era of heightened merger and acquisition scrutiny, the CMA’s swift approval of Boeing’s acquisition of Spirit instills confidence in the company’s future. This will allow Boeing to directly oversee more aspects of production and hopefully eliminate future quality control issues.

Stock Code

BA

Business Type

Planemaker

Date Founded

July 15, 1916

CEO

Kelly Ortberg

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