BRASILIA - Brazilian aeroplane manufacturer Embraer on Saturday accused US giant Boeing of"wrongfully" terminating a US$4.2 billion acquisition deal and making"false claims" to get out of the agreement.
Boeing had been due to buy an 80 per cent stake in the Brazilian company's commercial plane division but earlier on Saturday said it was exercising its right to pull out, claiming"Embraer did not satisfy the necessary conditions." "We believe Boeing has engaged in a systematic pattern of delay and repeated violations of the , because of its unwillingness to complete the transaction in light of its own financial condition and 737 Max and other business and reputational problems," said Embraer in a statement.
The buy-out was already controversial since they are two of the three largest airline manufacturers in the world, after Airbus. The merger was widely seen as a counterweight to Airbus' takeover of Canadian Bombardier's commercial aviation business.