EasyJet Agrees to £5.5bn Takeover Bid

EasyJet shares surged nearly 10% on July 6, 2026, after the airline agreed to a £5.5 billion takeover bid from US private equity firm Castlelake. The airline's board intends to recommend that shareholders accept the offer of £6.90 per share. This agreement comes after EasyJet had previously rejected four earlier bids from Castlelake, with the lowest offer being £5.60 per share. Prior to the announcement, EasyJet shares closed at 610p.

Analysts have commented that the deal, which values the UK-based airline at £5.5 billion, indicates that British companies are currently being acquired at low prices. The fifth and final offer from Castlelake represents a significant increase from the initial proposals, demonstrating a prolonged negotiation process that began with earlier rejections of bids as low as £5.60 per share.

The takeover by Castlelake, a prominent private equity firm, marks a significant transition for EasyJet, a major player in the low-cost airline sector. The recommendation from EasyJet's board to accept the £6.90 per share offer suggests confidence in the terms presented by Castlelake, despite the broader implications for the valuation of UK public companies.