EasyJet jumps 14% as Apollo tops Castlelake with £5.7B offer

A £7.15-per-share proposal and a roughly 14% share move put easyJet back into Tier-1 M&A territory. The airline said Apollo's proposal values the company at about £5.7B, above Castlelake's £6.90-per-share proposal that had previously framed the sale process.

The primary document is easyJet's regulatory statement regarding a possible offer. The company said shareholders would be entitled to receive £7.15 per easyJet share under the Apollo proposal, and market coverage reported that the board was minded to recommend the higher offer.

The size easily clears the $500M M&A threshold. It also changes the deal terms from the earlier Castlelake structure: Apollo's headline price is about 3.6% above £6.90 and represents a large premium to the pre-bid share price cited in market coverage. The stock reaction shows investors repriced the probability of a completed private-equity transaction.

For airlines, the transaction sits against a difficult cost backdrop. European carriers face high fuel prices, route disruption tied to Middle East tensions, and ownership rules that restrict non-European control. easyJet's statement and follow-up disclosures will matter because aviation deals require regulatory and shareholder execution, not just a headline bid.

The next formal date is Apollo's deadline to make a firm offer under the U.K. takeover timetable. Investors will also watch whether Castlelake raises its proposal again, whether founder-linked shareholders support the deal, and how Apollo structures European ownership compliance.

Not investment advice. Verify all figures with primary sources before acting.