The board of easyJet has unanimously rejected a third takeover attempt from Castlelake, a US-based private equity company.
Castlelake had publicly asked the airline’s investors to share views in favour of its third bid to take over the budget carrier.
The equity firm is required to announce if it will make a formal offer to take over easyJet by 5.00 pm on June 26.
Headquartered in Luton, easyJet employs more than 16,000 people. One of the world’s largest airlines, it operates a fleet of 355 aircraft across 1,207 routes in 37 countries.
The airline was founded by Stelios Haji-Ioannou, who now holds a 15% stake, making him the company’s biggest single shareholder.
European Union regulations stipulate that airlines based within it must be majority-owned and controlled by EU citizens.
To achieve that, Castlelake proposes partnering with the businessmen Peter Bellew and Mark Breen.
The recent conflict in the Middle East has had a detrimental impact on airlines and easyJet forecast a pre-tax loss of between £540 million and £560 million.
Consequently, the value of easyJet shares had dipped before news of Castlelake’s interest broke.
Yet in the two full financial years to September 2025, it delivered a 46% increase in pre-tax profit. That was driven by growth in easyJet Holidays and improved operational performance.
The airline’s board branded Castlelake’s third proposal as “opportunistic” and not in the best interests of easyJet shareholders.
