EasyJet Board Rejects $6.30B Takeover Bid, Seeks $794.5M Extra
EasyJet’s board rejected Castlelake’s £4.74 billion ($6.30 billion) takeover bid, demanding an additional £600 million ($794.5 million). Morgan Stanley maintained its Underweight rating on EasyJet while Castlelake appeals directly to shareholders to accept the bid.
1. Castlelake Launches £4.74 Billion Bid
Castlelake launched a £4.74 billion ($6.30 billion) bid for EasyJet on June 24 after three previous proposals, positioning itself as a strategic investor in the budget airline sector.
2. Board Rejects Offer, Demands £600 Million More
EasyJet’s board unanimously rejected the offer, demanding an additional £600 million ($794.5 million) to consider a deal that reflects its growth potential and competitive market position.
3. Morgan Stanley Maintains Underweight Rating
Morgan Stanley maintained its Underweight rating on EasyJet, signaling expectations of underperformance relative to peers despite heightened takeover activity and ongoing price negotiations.
4. Castlelake Appeals Directly to Shareholders
In response, Castlelake is appealing directly to EasyJet shareholders to bypass the board’s stance and secure approval for its improved acquisition strategy.
