US Investor Apollo Secures Deal to Acquire EasyJet for £5.7bn

EasyJet has formally accepted a £5.7 billion takeover

EasyJet has formally accepted a £5.7 billion takeover bid from the American investment firm Apollo Global Management, following the withdrawal of a competing bidder. The agreement marks a significant shift for the British low-cost airline, which has faced turbulent market conditions in recent years.

The deal, confirmed on Thursday, values EasyJet at approximately £5.7 billion, including debt. Apollo’s offer of 650 pence per share represents a premium of nearly 40% over the airline’s closing price before the takeover talks became public last month.

The move comes after rival suitor, the private equity firm TPG, abandoned its interest, citing concerns over the airline’s exposure to fuel price volatility and the ongoing recovery of the European short-haul market. With TPG out of the picture, Apollo moved quickly to secure the board’s recommendation.

EasyJet’s management has endorsed the takeover, stating …

EasyJet’s management has endorsed the takeover, stating that the deal provides financial stability and a long-term strategic partnership. The airline’s chief executive, Johan Lundgren, said in a statement that Apollo’s investment would enable EasyJet to strengthen its operational resilience and pursue growth opportunities, particularly in sustainable aviation and digital innovation.

However, the acquisition is likely to face scrutiny from regulators and unions. Industry analysts have raised questions about potential job cuts and route changes, though Apollo has committed to maintaining EasyJet’s headquarters at London Luton Airport and preserving its brand identity.

The transaction is expected to close by early next year, pending shareholder approval and regulatory clearances. If completed, it would mark one of the largest private equity takeovers of a European airline in recent history, underscoring a broader trend of consolidation in the sector.