easyJet has said it has agreed in principle to a takeover proposal from Castlelake at GBP 6.90 per share, a level that places the company’s enterprise value at GBP 5.23 billion. The announcement follows a series of escalating bids from the Minneapolis-based private credit firm.
This latest offer is the fifth and highest Castlelake has put forward since first contacting the airline on May 29. The private credit group increased its proposal from an initial 560 pence to 690 pence per share. For context, easyJet stock (LON: EZJ) closed last Friday at 558.2 pence, which is roughly 20% below the current offer price.
In a joint statement cited by media reports, the companies also said they have extended the "put up or shut up" deadline to August 3 at 5 p.m. London time. The extension maintains the timetable for the formal phase of the offer.
Castlelake has announced a partnership with Mark Breen and Peter Bellew, the latter a former easyJet executive who left the airline in 2022. The joint statement from the bidder indicated an intention to back the airline’s future growth and its fleet modernisation programme.
easyJet’s balance sheet and asset base were outlined in commentary accompanying the agreement. The carrier’s primary assets include a modern Airbus A320-family fleet and high-value landing slots at airports including London, Milan and Geneva.
However, easyJet has been under financial strain. The airline reported a first-half FY2026 earnings per share of -£0.501, which missed analyst expectations of -£0.4345 by 15.3%. The company cited higher jet fuel costs, linked in reporting to the Iran conflict, as a factor pressuring margins. Softer summer booking trends were also noted as a headwind.
Among the airline’s shareholders, the Haji-Ioannou family holds a 15.3% stake, making them the largest single shareholder.
The agreement is described as being "in principle," and the extended deadline sets the next formal milestone in the takeover process.