Reports emerge saying Bombardier offered a majority stake in commercial jet program to rival
MONTRÉAL—Bombardier Inc. and Airbus Group SE have each confirmed they engaged in talks surrounding “certain business opportunities,” but the companies say a potential deal is no longer being discussed.
On Oct. 6, a Reuters report said Bombardier had approached Airbus with an offer for a majority stake in the company’s CSeries program. Under the proposed agreement, Airbus would help Bombardier complete the CSeries in exchange for a majority stake in the program, Reuters said.
While neither company officially confirmed discussions involved the CSeries, any talks have subsequently broken down.
“Airbus Group SE confirms that it has been exploring business opportunities with Canada-based Bombardier Inc. and that such discussions are no longer being pursued,” Airbus said.
The statement prompted the Montreal-based transport giant to release a similar disclosure.
“Bombardier confirms that such discussions occurred and are no longer being pursued. As previously mentioned, Bombardier will continue to explore initiatives such as a potential participation in industry consolidation,” it said.
Meanwhile, both companies have said they will refrain from making any further comment or speculation.
Bombardier’s CSeries aims to compete with the world’s largest commercial plane makers, Boeing and Airbus, but has faced significant delays, prompting analysts to raise concerns about the company’s cash flow. The company is scheduled to deliver its first aircraft next year.