CHICAGO (AP) -- Shareholders of Brazilian aircraft maker Embraer have overwhelmingly approved spinning off the company's commercial-airplane unit into a joint venture dominated by Boeing Co.
Boeing will own 80 percent of the venture, which values Embraer's commercial-aircraft business at $5.26 billion.
The deal gives Boeing a big stake in Embraer's market for smaller regional jets and helps the Chicago company counter Europe's Airbus, which last year bought a controlling stake in Canadian manufacturer Bombardier's CSeries regional jet program.
Boeing and Embraer said Tuesday the deal was favored on 96.8 percent of votes cast, with owners of about 67 percent Embraer stock voting. The companies hope to win regulatory approvals and close the deal by year-end.
Embraer shareholders also agreed to a joint venture with Boeing to market Embraer's KC-390 military-transport plane.