Particle.news
Download on the App Store

EasyJet Rejects Castlelake’s £6.25‑a‑Share Takeover Proposal

The board’s refusal forces Castlelake to make a formal offer or withdraw by the UK takeover deadline on 26 June.

Overview

  • The easyJet board unanimously rejected Castlelake’s third informal proposal of £6.25 per share, saying the bid opportunistically relies on a temporarily weak share price and undervalues the airline.
  • Castlelake has gone public with the offer and urged easyJet shareholders to voice support before the takeover 'put‑up‑or‑shut‑up' deadline at 5pm BST on 26 June.
  • The bidder already holds about a 2.14% stake and says the proposed deal would be funded by committed equity plus debt facilities with reported financing support from Goldman Sachs.
  • To meet EU airline ownership rules Castlelake proposed a buyer vehicle 49% owned by Castlelake and 51% by EU‑national partners led by Peter Bellew and Mark Breen, a structure easyJet described as opaque.
  • Shares rose several percent after the bids became public as investors weighed the chance of a formal offer and the practical hurdles of financing, regulatory approval and winning major shareholder support.