Ryanair (RYAAY), Boeing (BA) May Bury Hatchet with New $18B Order
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Boeing (NYSE: BA) shares are ticking higher Tuesday following reports that Ireland's Ryanair (Nasdaq: RYAAY) might be mulling a massive purchase.
According to The Independent, Ryanair has all but forgone a potential tie-up with Aer Lingus and is now focused solely on its own development. That said, the airline might place an order with Boeing for 200 aircraft, or a potential $18 billion deal.
Some of the aircraft will be used to replace older holdings, but many will also be used for Ryanair to extend its footprint. Ryanair currently runs 305 Boeing 737-800s and CEO Michael O'Leary said the company will place an order when the price was right. Current market price of a 737-800 is about $89.1 million.
Boeing and Ryanair were previously expected to ink a massive deal just a few years ago, with Ryanair cancelling a 200 aircraft order valued at $14 billion in 2009 as Boeing wanted to alter some conditions of the arrangement.
Boeing is up 0.8 percent in early trading.
According to The Independent, Ryanair has all but forgone a potential tie-up with Aer Lingus and is now focused solely on its own development. That said, the airline might place an order with Boeing for 200 aircraft, or a potential $18 billion deal.
Some of the aircraft will be used to replace older holdings, but many will also be used for Ryanair to extend its footprint. Ryanair currently runs 305 Boeing 737-800s and CEO Michael O'Leary said the company will place an order when the price was right. Current market price of a 737-800 is about $89.1 million.
Boeing and Ryanair were previously expected to ink a massive deal just a few years ago, with Ryanair cancelling a 200 aircraft order valued at $14 billion in 2009 as Boeing wanted to alter some conditions of the arrangement.
Boeing is up 0.8 percent in early trading.
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