Apollo Offers £7.15 per Share for easyJet, Higher Than Castlelake’s £6.90 Bid

Apollo Global Management submitted a $7.7 billion cash takeover bid for easyJet, offering shareholders £7.15 per share and valuing the airline at £5.7 billion. The proposal includes a Stub Equity Alternative that would let investors roll their holdings into Apollo's investment vehicle while retaining voting rights.

EasyJet's board said the Apollo offer delivers higher cash value than Castlelake's proposal and is no longer minded to recommend the earlier bid.

Castlelake's $7.3 billion offer of $6.90 per share had been agreed in principle, with the firm required to make a firm offer or withdraw by August 3. EasyJet shares rose as much as 14 percent after the market opened and were last trading 13.2 percent higher. The stock closed at £5.88 on Thursday after a 0.5 percent decline that day and has gained 15.2 percent since the start of 2026.

The company reported a pre-tax loss of £552 million for the first half of 2026, wider than the £394 million loss in the same period a year earlier. Performance in the second half has been affected by higher fuel costs and lower visibility tied to the Middle East conflict.

Bernstein analysts noted that an Apollo acquisition would support easyJet's planned growth path, though they said a substantial cost restructuring beyond current forecasts would be needed to justify the price.