Key facts
- Castlelake has urged EasyJet investors to accept its £4.7 billion takeover bid.
- EasyJet has rejected multiple takeover proposals from Castlelake, deeming them undervalued.
- Investors are reportedly seeking at least £5.3 billion for the airline.
- Castlelake partnered with Peter Bellew and Mark Breen to comply with EU ownership rules.
- Castlelake must formalize its offer or withdraw by June 26.
U.S. investment firm Castlelake has publicly urged EasyJet investors to accept its latest £4.7 billion takeover bid, following the budget airline's rejection of multiple proposals. EasyJet and its investors are reportedly holding out for a higher offer, seeking at least £5.3 billion, or £7 per share, which would represent an increase of approximately £600 million from Castlelake's current offer. The airline's board has described the bids as 'highly opportunistic' and criticized Castlelake's 'unwillingness to engage meaningfully,' suggesting the timing exploits the airline's temporarily depressed share price. Castlelake has partnered with Peter Bellew and Mark Breen to navigate European airline ownership regulations, which require EasyJet to be majority-owned by EU citizens. The firm stated that EasyJet's lack of engagement was a reason for making the bid public. Castlelake must submit a formal offer or withdraw its bid by June 26.