Embraer and Boeing have agreed on the strategic terms under which they will merge the majority of the commercial business of the former, as well as form a joint venture (JV) under which they will jointly market the KC-390 transport aircraft.
Under the proposed agreement, Boeing will acquire an 80% stake in Embraer's commercial business, while the JV to promote the latter's KC-390 aircraft will be 51% owned by the Brazilian company and 49% by the American OEM.
These proposals are subject to authorisation from the Brazilian government, after which the companies intend to execute definitive transaction documents for the deal.
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