Apollo Global Management has launched a £5.7 billion ($7.65 billion) offer for budget airline easyJet, outbidding rival private equity firm Castlelake and potentially sparking a full-blown takeover battle.
Key Takeaways
Apollo Global Management has launched a £5.7 billion ($7.65 billion) offer for budget airline easyJet, outbidding rival private equity firm Castlelake and potentially sparking a full-blown takeover battle.
- Apollo's offer of about £7.15 per share prompted easyJet's board to withdraw its recommendation for Castlelake's offer of £6.90 per share
- Shares in easyJet rose as much as 15% to £6.75 in early Friday trade
- Apollo has committed to taking 'all necessary steps' to satisfy any merger control and EU subsidies-related clearances required to complete the deal
- Founder Stelios Haji-Ioannou, who owns roughly 15% of the airline, could potentially receive an £855 million payday if he chooses to sell his stake
- Apollo has until August 7 to make a firm offer for easyJet
⚖
▼Source Claims Check
2 Differences FoundAll 5 publishers report consistent facts across 3 key claims. 2 points of difference noted.
| Claim | Status | Reason | |
|---|---|---|---|
| Share Price Increase | 1 Difference | Reuters reports a 15% increase to £6.75; Sky News says nearly 14%. | ▼ |
| Easyjet's Financial Loss | 1 Difference | Sky News reports a loss of £552 million; CBS News says losses deepened by 27% to £377 million. | ▼ |
| Offer Amount | Broad Agreement | £5.7 billion offer for easyJet | |
| Apollo's Commitment | Broad Agreement | Apollo committed to satisfying merger control and EU subsidies-related clearances | |
| Easyjet's Listing Status | Broad Agreement | EasyJet may no longer be listed on the London Stock Exchange if the deal is agreed. |
Share Price Increase
▼Reuters reports a 15% increase to £6.75; Sky News says nearly 14%.
Easyjet's Financial Loss
▼Sky News reports a loss of £552 million; CBS News says losses deepened by 27% to £377 million.
Offer Amount
Broad Agreement£5.7 billion offer for easyJet
Apollo's Commitment
Broad AgreementApollo committed to satisfying merger control and EU subsidies-related clearances
Easyjet's Listing Status
Broad AgreementEasyJet may no longer be listed on the London Stock Exchange if the deal is agreed.
This analysis is AI-generated and may not perfectly represent each source's reporting. Always read the original articles for full context.
The offer of about £7.15 per share prompted easyJet's board to withdraw its recommendation for Castlelake's offer of £6.90 per share, which the two sides had agreed in principle just days earlier. According to Reuters, shares in easyJet rose as much as 15% to £6.75 in early Friday trade.
Apollo has committed to taking 'all necessary steps' to satisfy any merger control and EU subsidies-related clearances required to complete the deal, according to The Guardian. The firm also plans to keep the easyJet brand after a potential acquisition by continuing the existing brand licence agreement with founder Stelios Haji-Ioannou.
Haji-Ioannou, who owns roughly 15% of the airline and collects royalties on its revenue for licensing the 'easy' brand, could potentially receive an £855 million payday if he chooses to sell his stake. Apollo has until August 7 to make a firm offer for easyJet.
According to Sky News, the deal is subject to shareholder and regulator approval, but if agreed, it will mean easyJet is no longer listed on the London Stock Exchange. The latest offer suggests a bidding war may be under way for the airline, which has become a takeover target after grappling with a post-pandemic recovery and high jet fuel costs.
EasyJet most recently reported an increased loss of £552 million for the first half of its financial year. According to CBS News, in May, EasyJet reported losses deepened by 27 percent in the first half of the financial year to £377 million as fuel prices soared and upended travel plans.
How this summary was created
This summary synthesizes reporting from 5 independent publishers using AI. All sources are cited and linked below. NewsBalance is a news aggregator and media literacy tool, not a news publisher. AI-generated content may contain errors or inaccuracies — always verify important information with the original sources.