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easyJet Board Backs Castlelake's £6.90/Share Takeover Bid — £5B Deal

EZJ.L

easyJet's board has indicated it is minded to recommend a sweetened all-cash takeover offer from US private credit firm Castlelake LP, pitched at £6.90 per share and valuing the low-cost carrier at approximately £5 billion. The offer represents a premium to easyJet's recent trading price and is described as agreed in principle, meaning formal documentation and regulatory steps remain ahead. Castlelake, known primarily as a private credit and asset-based lending specialist, would be making an unusual move into direct airline ownership at scale.

Why it matters

For shareholders holding easyJet stock, an agreed-in-principle cash offer at £6.90 per share sets a hard near-term price ceiling — the stock will likely trade just below that level as the market prices in deal risk and timeline uncertainty. Investors in European airline peers and ETFs with UK travel exposure may see modest read-through, as a premium private equity bid signals that distressed aviation assets are viewed as undervalued. The key risk is deal failure, which would likely send easyJet shares sharply back toward pre-bid levels.

Watch next

Formal takeover announcement and publication of offer document (likely within weeks of in-principle agreement). UK Competition and Markets Authority (CMA) review decision window. easyJet shareholder vote, expected within 2-3 months of formal offer.

22 sources

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