Business
Onex Completes Acquisition of Boeing Commercial Airplanes
Onex Completes Acquisition of Boeing Commercial Airplanes.
About this update from Onex Corporation
[{"type":"text","content":"\n\n\n\n\nTORONTO, June 16 /CNW/ -- Onex Corporation (Toronto: OCX.SV)\nannounced today it has completed the previously announced acquisition of the\nWichita/Tulsa Division of Boeing Commercial Airplanes in a transaction valued\nat approximately $1.5 billion, including cash of approximately $1.1 billion\nand the assumption of certain liabilities.\nThe purchased operations include Boeing's commercial airplane\nmanufacturing facilities in Wichita, Kan., and Tulsa and McAlester, Okla. The\nnew business has entered into long-term agreements to supply Boeing fuselage\nsections, struts and nacelles, and wing elements on Boeing's 737, 747, 767,\n777, and 787 platforms, making it the largest Tier 1 aerostructures\nmanufacturer in the world. The new company also will compete for business from\nother aircraft OEMs in the commercial airliner, business jet, general\naviation, and defence sectors.\n\"Starting today we can market our abilities to the entire aerospace\nindustry,\" said Jeff Turner, CEO of the new company. \"It's an exciting day for\nour team. We believe that our facilities and skills are the best in the world,\nand we are eager to have the opportunity, working closely with Onex, to\naggressively pursue new business outside the Boeing supply chain.\"\n\"We are extremely pleased with the acquisition,\" said Nigel Wright, an\nOnex managing director. \"We are at a good point in the commercial aircraft\ncycle, we have a great partnership with Boeing, we are initiating\nrelationships with other manufacturers, and we have employees who are raring\nto go.\"\nOnex Managing Director Seth Mersky added, \"We have great confidence in\nJeff Turner and the thousands of men and women who have joined the new team.\nWe are excited and looking forward to a future of growth both in Kansas and\nOklahoma.\"\nThe equity investment of $470 million will be made through Onex Partners\nand a number of its limited partners, including Onex Corporation itself.\nThe new company's roots go back to the Stearman Aircraft Company, which\nbegan operations in the 1920s. It now operates from approximately 12 million\nsquare feet of facilities located in Wichita, Kan., and Tulsa and McAlester,\nOkla. The civil aerostructures market is currently estimated to be about\n$15 billion in annual value.\nOnex Corporation is a diversified company with annual consolidated\nr...