easyJet Agrees to £5.7 Billion Takeover Bid from Apollo

easyJet reached an agreement in principle on July 10, 2026, for a £5.7 billion cash acquisition by US private equity firm Apollo Global Management. Apollo's offer of £7.15 per share surpasses a previous agreement with US investment firm Castlelake, which had offered £6.90 per share. The airline stated the Apollo proposal represents a superior outcome for shareholders and confirmed it is no longer prepared to recommend the Castlelake bid.

The airline became vulnerable to takeover following a share price drop driven by rising jet fuel costs after the Iran war. Market analysts attribute the current valuation to easyJet's landing slots, a new Airbus aircraft order book, and its high-margin holidays division. Following the announcement, easyJet shares surged 14.5 percent to £6.73 on the London Stock Exchange.

To finalize the deal, Apollo must navigate EU ownership laws requiring airlines operating in the bloc to be majority-owned by European nationals. Apollo has committed to meeting these regulations and intends to maintain the easyJet brand and its existing license agreement with founder Sir Stelios Haji-Ioannou. Castlelake must decide on a firm bid by August 3, while Apollo faces a deadline of August 7 to announce a firm intention to make an offer.