Key facts
- Apollo Global Management has agreed to acquire EasyJet for £5.7 billion.
- Apollo's offer values the airline at £7.15 per share.
- EasyJet's board is now minded to recommend Apollo's proposal.
- The board is no longer minded to recommend Castlelake's earlier offer.
- Apollo has until August 7 to make a firm offer.
- Castlelake has until August 3 to make a formal offer.
Apollo Global Management has agreed to acquire EasyJet for £5.7 billion, surpassing an earlier bid from Castlelake. The offer values the airline at £7.15 per share, a price the EasyJet board is now minded to recommend as a superior outcome to Castlelake's £6.90 per share proposal. The increased offer comes after EasyJet's share price had fallen significantly due to rising fuel costs following the Iran war. Apollo faces hurdles related to European Union ownership rules, which require European airlines to be majority-owned by Europeans. Castlelake had planned to use Irish aviation executives Peter Bellew and Mark Breen to satisfy these regulations, and Apollo may pursue a similar strategy. Castlelake has until August 3 to make a formal offer, while Apollo has until August 7.