Overview
- The easyJet board said on Friday that it has reached an agreement in principle with Apollo for a £7.15 per share cash proposal that values the airline at about £5.7 billion.
- Board directors withdrew their earlier support for Castlelake's roughly £6.90 per‑share approach after concluding Apollo's offer delivers a higher cash outcome for shareholders.
- Under UK takeover rules Apollo must either announce a firm offer by 5pm BST on August 7 or withdraw from the process while Castlelake's firm‑offer window runs until August 3.
- Regulatory hurdles include EU rules requiring majority European ownership and merger‑control and foreign‑subsidies clearances, and Apollo has said it will take steps to satisfy those demands.
- Markets reacted strongly to the move with easyJet shares up about 13–14% and major shareholders such as founder Sir Stelios, who holds roughly 15.3%, expected to be pivotal for any final vote; Apollo has also pledged to preserve the brand and value staff.