US private equity firm Apollo Global Management has secured a £5.7 billion deal to acquire EasyJet, following Castlelake’s decision to exit the bidding process. Apollo’s offer of £7.15 per share won over EasyJet’s board, which had initially supported a potential sale to Castlelake before Apollo upped its bid. The acquisition is slated for completion by March 2027, pending regulatory approvals.
EasyJet’s founder, Stelios Haji-Ioannou, along with his family, will maintain their current shares under the new ownership plan. Apollo’s stake will be restricted to 49.9%, ensuring compliance with European Union ownership regulations through a distinct shareholding arrangement. This structure is designed to preserve the airline’s operational integrity within the EU framework.
Apollo has committed to keeping EasyJet’s headquarters in the UK and the European Union, while backing the airline’s existing growth strategy. The private equity firm recognizes substantial long-term potential in EasyJet’s aviation network across Europe and the UK. This strategic vision aligns with Apollo’s intention to enhance EasyJet’s market presence and operational capabilities.
According to EasyJet’s board, Apollo’s proposal offers shareholders immediate and attractive value, acknowledging the airline’s current strength and future opportunities. The offer comes at a pivotal moment, as EasyJet’s shares had experienced a downturn following Castlelake’s withdrawal, only to rebound with the announcement of the confirmed Apollo deal.