Britain’s EasyJet flies into US hands as takeover confirmed
A rival American firm pulled out of the bidding for the British no-frills airline.
<Britain's EasyJet Flies Into US Hands as Takeover Confirmed>
On August 6, Britain's budget airline EasyJet announced it had reached an agreement with US private equity firm Apollo to buy the company for £5.7 billion. The rival American firm Castlelake had previously expressed no interest in making a higher bid for the carrier. EasyJet's headquarters will remain in Luton, near London. The deal is expected to be completed by the first quarter of 2027.
EasyJet's CEO Kenton Jarvis praised Apollo's experience in the aviation sector, noting the US firm manages over $1 trillion worldwide and has investments in Aeromexico, Sun Country Airlines, and Atlas Air. However, Apollo, as a foreign entity, cannot take full ownership of EasyJet due to British and European rules. The company has confirmed it will seek a European partner.
EasyJet's net profits plummeted in the third quarter as the Middle East war drove up jet fuel prices, with profits before tax falling 70% to £85 million. The takeover price is £7.15 per share, currently trading at £6.73. EasyJet was founded in the 1990s by Stelios Haji-Ioannou as Europe's budget airline sector grew.
Written by urgent.news from Straits Times Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 1 other outlet
- Britain's EasyJet flies into US hands after takeover news.rthk.hk
