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easyJet PLC on Monday said it had rejected three takeover proposals from Castlelake LP, the latest of which valued the Luton, Bedfordshire airline at around £4.74 billion. The FTSE 250-listed airline called it an ‘opportunistic attempt to acquire easyJet on the cheap’. Minneapolis-based asset manager Castlelake said it made a first cash bid for the budget airline of 560 pence per share on June 12. A second tilt of 600p per share was made on June 17, followed by a third of 625p per share last Saturday. Castlelake said easyJet rejected the latest proposal on Sunday, after earlier rebuffing the prior two plans. Shares in easyJet rose 3.4% to 521.22 pence each in London on Monday for a market value of £3.95 billion. Castlelake said easyJet’s board had shown an ‘unwillingness to engage meaningfully’ and that it was releasing the proposal to enable easyJet shareholders to consider its ‘merits’ ahead of the ’put-up’ or ’shut-up’ deadline on Friday. Castlelake said the third takeover proposal ‘substantially de-risks’ the execution of easyJet’s business plan and estimates that it compares favourably to the net present value of easyJet’s share price, even assuming the airline were to achieve its aspirational target of delivering greater than £1 billion pretax profit in the medium-term. The US asset manager said it also intends to offer a partial equity alternative to allow easyJet shareholders to remain invested. But easyJet hit back claiming the third proposal was an ‘opportunistic attempt to acquire easyJet on the cheap’ and that it is therefore not in the best interests of easyJet shareholders. The airline said the takeover plan was delivered against the backdrop of a ‘temporarily depressed share price’, and still ‘fundamentally undervalues easyJet and its prospects.’ In addition easyJet called the envisaged ownership structure ‘opaque’, noting the bidding vehicle would be owned 49% by Castlelake and 51% by EU nationals and ‘potentially other investors which have not been disclosed’. ‘The board remains highly confident in easyJet’s strategy and its ability to deliver attractive long-term value for shareholders. easyJet is in a position of strength, underpinned by an investment grade balance sheet with a net cash position, alongside strong customer satisfaction and high employee engagement,’ easyJet added. Castlelake said the proposal includes details of ownership and governance structures designed to ensure responsible stewardship of easyJet. It said it partnered with Peter Bellew and Mark Breen as EU national individual investors. Bellew is a former chief operating officer of easyJet, while Breen is chief executive officer of consultancy Oneiros Aerospace and formerly led Saudi Arabian budget carrier flyadeal. The third proposal includes these EU national partners investing and participating in the proposed acquisition through their ownership and control of an EU company, Castlelake explained. ‘This proposed structure is consistent with structures adopted by a number of other European airlines that are subject to the same EU ownership rules as the company. Castlelake is confident that this is a clear, deliverable solution to ensure compliance with all applicable regulatory requirements,’ Castlelake said. Castlelake said it is ‘highly confident’ that the transaction will be structured and completed in full compliance with all applicable regulatory requirements, with any required formal approvals obtained swiftly. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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