EasyJet formally accepted a takeover offer from Apollo Global Management valued at £5.7bn, following the withdrawal of competing bidder Castlelake from the acquisition process. The transaction was finalized at £7.15 per share, a price Apollo had proposed the previous month. The agreement was reached one day before a deadline for final offers from both interested parties, with Castlelake choosing not to engage in further competitive bidding.
Under the transaction structure, founder Stelios Haji-Ioannou and his family will maintain their stake in the reorganized company. Shareholders have the option to sell or convert their holdings up to a maximum of 49.9%, while an “EU Trust” shareholding entity will retain up to 5% of the company. This arrangement appears intended to satisfy European Union foreign ownership restrictions applicable to airlines, with Apollo’s stake capped at 49.9%.
Apollo has pledged to preserve easyJet’s existing head offices in the UK and European Union and has committed to supporting the airline’s current strategic direction and objectives for sustainable growth. Alex van Hoek, Apollo’s European private equity leader, characterized easyJet as a leading European aviation provider with a strong market position built on customer appeal, network reach, and brand recognition. The firm stated its backing for easyJet’s vision to expand connectivity across Europe and the UK.
EasyJet’s leadership expressed support for the transaction. Stephen Hester, the airline’s chair, indicated the board determined the offer appropriately valued the business while recognizing its quality and opportunities. Chief Executive Kenton Jarvis welcomed Apollo’s commitment to the company and workforce, citing the acquirer’s aviation sector expertise as beneficial for growth acceleration. The transaction is projected to close by the conclusion of March 2027. Following the announcement, easyJet’s share price recovered with a 3% gain from the day’s opening, after initially declining 10% when Castlelake’s withdrawal was announced.
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