RIO DE JANEIRO (Reuters) - The Brazilian government will approve the tie-up between Boeing Co (BA.N) and Embraer SA (EMBR3.SA), which is still under President Michel Temer’s mandate, but only after the October presidential elections, Brazilian Defense Ministry Joaquim Silva e Luna said on Thursday.
The U.S. plane maker announced in early July it plans to take over the commercial jet unit of Embraer in a proposed $4.75 billion joint venture. Boeing would have an 80 percent stake in the venture. [nL4N1U13T2]
Silva e Luna said the government plans to approve the deal only after the October elections to avoid stirring debate among the candidates, but he considers the tie-up a “good deal.”
Reporting by Rodrigo Viga Gaier; Editing by Jeffrey Benkoe