EasyJet has reached an agreement for a £5.7 billion acquisition by the American private equity firm Apollo Global Management, following the withdrawal of competing bidder Castlelake from the process. Apollo will purchase each easyJet share for £7.15 under this deal, which is anticipated to conclude by the end of March 2027, pending all necessary approvals. Initially, easyJet had recommended a potential sale to Castlelake, but Apollo’s subsequent increase in its offer spurred a competitive bidding situation. Eventually, Castlelake opted not to make a final bid.
The current shareholding of easyJet’s founder, Stelios Haji-Ioannou, and his family is expected to remain unchanged under Apollo’s ownership. Apollo’s stake will be limited to 49.9%, with a distinct shareholding arrangement put in place to ensure the airline adheres to European Union ownership regulations. Apollo has pledged to maintain easyJet’s headquarters in both the UK and the European Union, while also supporting the airline’s current strategy for expansion. The private equity firm expressed confidence in the substantial long-term potential of easyJet’s aviation network across Europe and the UK.
According to easyJet’s board, Apollo’s offer provides shareholders with immediate, attractive value and simultaneously acknowledges the airline’s robust position and future prospects. The announcement follows a period of volatility for easyJet’s shares, which experienced a sharp decline after Castlelake withdrew before rebounding as investors reacted positively to the confirmation of the Apollo deal.