Private equity firm Thoma Bravo is in advanced talks to buy Boeing’s Jeppesen navigation unit, with an announcement expected later this week, according to a source familiar with the matter.
The news comes nearly a month after Reuters reported that Jeppesen attracted interest from several private equity firms and at least one aerospace supplier, with final bids valuing the unit at over $8 billion.
Thoma Bravo has now emerged as the winner of the Jeppesen auction, edging out other rival buyout firms such as TPG, Advent, and Veritas, according to several sources.
The planned sale of Jeppesen is part of CEO Kelly Ortberg’s strategy to streamline Boeing’s operations and reduce its debt pile by offloading non-core assets.
Boeing declined to comment, while Thoma Bravo did not immediately respond to Reuters’ request for comment.
The U.S. planemaker is set to report first-quarter results on Wednesday.
Boeing, which acquired Jeppesen for $1.5 billion in 2000, initially aimed for a price above $6 billion when it launched the auction last year but strong interest from potential buyers drove the valuation higher.
Englewood, Colorado-based Jeppesen is seen as a sought-after asset that could boost aerospace contractors and private equity firms, which typically like to buy businesses to generate steady cash flow.
