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EasyJet rejects fourth takeover offer

EasyJet rejects fourth takeover offer

Summary

EasyJet has rejected a fourth offer from US investment firm Castlelake to buy the airline for £4.93 billion. EasyJet’s board says the bid undervalues the company and has doubts about Castlelake’s ability to complete the deal.

Key Facts

  • Castlelake made a fourth takeover offer of £4.93 billion, or £6.50 per share.
  • Previous offers were £5.60, £6, and £6.25 per share.
  • EasyJet’s board says the latest offer still undervalues the company and questions whether Castlelake can deliver the deal.
  • EasyJet’s share price has dropped about 30% over the past year, affected by worries over the war in Iran.
  • Castlelake manages about $36 billion (£27.3 billion) in assets.
  • Under the deal, Castlelake and co-investors would own 49% of EasyJet, with the remaining 51% owned by European Union investors.
  • EasyJet wants Castlelake to provide clear promises about ownership and their ability to complete the purchase.
  • The deadline for Castlelake to make a firm offer is 17:00 BST on 5 July.
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