Boeing has reached a deal to acquire Aviall Inc. for $48 per share or $1.7 billion, plus the assumption of approximately $350 million of debt. Aviall is the largest independent provider of new aviation parts and services in the aerospace industry, with capabilities that include global parts distribution and supply chain services for aerospace, defense and marine industries worldwide. Aviall’s 2005 revenue was $1.3 billion, with more than 25% growth expected in 2006, and Boeing sees a $25 billion industry for new aviation parts and services.
Aviall will report to Boeing Commercial Aviation Services, which offers Integrated Materials Management (IMM) services to airline customers, and operate as a wholly-owned subsidiary. As DID’s analysis of BAE’s Airbus share sale noted, those kinds of capabilities are increasingly important in the military sphere as well. See the Boeing and Aviall releases for further details.