According to a April 22 report of the Wall Street Journal, Boeing has agreed to sell part of its digital aviation solutions business for $10.55 billion in an all-cash transaction to further cut costs.
Boeing said on the 22nd that it had agreed to sell its digital aviation solutions business in an all-cash transaction to a U.S. private equity firm Thoma Bravo, including subsidiaries such as Jeppesen, which provides navigation products and software, as well as the aviation navigation application ForeFlight.
The move is the latest effort by Boeing to cut costs and raise funds, as the company burns billions of dollars each quarter and struggles to address quality issues caused by a series of safety scandals in recent years. Boeing lost $1.4 billion last year and is expected to continue losing money this year. The massive losses have forced Boeing to urgently seek additional sources of funding.
Boeing CEO Dave Calhoun said last year that he would lay off 17,000 people to keep the company running. He said that executives have been exploring ways to sell assets that can bring much-needed cash to the company while divesting non-core or underperforming departments. He described this approach as "trimming" the company's portfolio rather than undertaking a complete overhaul.
Foreign media analysis believes that this sale is bittersweet for Boeing. It provides much-needed cash for the company, but given that Jeppesen is a profitable company, this move may sacrifice long-term profits.
Moxi
Original article: https://www.toutiao.com/article/7496481555020317235/
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