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Stocks of Brazil's Embraer skyrocket after news of possible merger with Boeing

Source: Xinhua| 2017-12-22 13:43:22|Editor: Yurou
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RIO DE JANEIRO, Dec. 21 (Xinhua) -- The stocks of Brazil's aircraft manufacturer Embraer skyrocketed on Thursday, following the news of a possible merger with Boeing.

U.S. media reported on Thursday that Boeing is in talks with Embraer over a potential merger, which led to a sharp rise of 22 percent of Embraer's stocks by the end of the day.

According to local news site G1, by the end of the day, Embraer's market value had increased by 2.7 billion reais (815.7 million U.S. dollars).

Embraer has confirmed that it is holding preliminary talks on a merger. However, the Brazilian government has a "golden share" in Embraer, which grants it veto power in such circumstances.

Local media reported that Brazilian President Michel Temer said Embraer would "not be sold by his government."

Embraer is Brazil's only aircraft manufacturer and one of the largest companies of its kind in the world, employing over 16,000 people in the South American country.

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