Apollo launches £5.7 bn all‑cash bid for easyJet, beating Castlelake

Apollo Global Management has submitted an all‑cash offer of £5.7 bn (about €6.6 bn), valuing easyJet at £7.15 per share. The proposal represents an 81 % premium to the airline’s closing price before the takeover speculation began and a 22 % premium to Castlelake’s earlier offer of £6.90 per share. EasyJet’s board has withdrawn its support for Castlelake and endorsed Apollo’s bid, describing it as a “superior outcome” for shareholders.

The news sent easyJet’s shares up around 12–15 % in London trading. The airline reported a £377 m post‑tax loss for the six months to 31 March, though revenue rose 12 % to £3.95 bn. Apollo said it will retain the easyJet brand under the existing licensing agreement with easyGroup, whose founder Sir Stelios Haji‑Ioannou still owns roughly 15 % of the airline.

Regulatory approval remains the main obstacle. EU ownership rules require the carrier to stay majority‑owned and controlled by EU nationals, so Apollo will need to meet those conditions and the EU’s Foreign Subsidies Regulation before a formal bid, due by 7 August, can be confirmed. Castlelake has until 3 August to decide on a possible improved offer.

Analyst Kenton Jarvis noted that easyJet is “well positioned to navigate the difficult trading environment,” while market observers stress that the bid could reshape the European low‑cost carrier landscape amid high fuel costs and geopolitical tensions.