EasyJet set for £5.7bn US takeover as Stelios backs deal

EasyJet set for £5.7bn US takeover as Stelios backs deal

Louis Goss

Thu, August 6, 2026 at 5:06 PM GMT+3 2 min read

EasyJet founder Sir Stelios Haji-Ioannou has backed a £5.7bn takeover of the low-cost airline, saying the deal will return the carrier to growth.

The billionaire entrepreneur, who started easyJet in 1995, said on Thursday that he would support an acquisition by US private equity giant Apollo after rival suitor Castlelake pulled out of the race.

Sir Stelios said he intended to remain a long-term investor in easyJet, rolling over his shares into new vehicle set up by Apollo, instead of cashing out his £900m stake.

He said: "I am pleased with Apollo's strategic intentions for the easyJet business, which aim to create more growth."

It signals a major endorsement in the airline after a brutal period, which saw its share price slump to lows of less than £4 because of surging fuel prices following the Iran war.

The deal also marks the end of a bidding war between Castlelake and Apollo, the $1tn (£740m) New York investment firm, to take the London-listed airline private.

Sir Stelios, who also owns the "easy" brand attached to hotels and gyms, listed the airline on the London Stock Exchange in 2000.

The former airline boss and his family had continued to own a 15pc stake in the airline, down from 34pc a few years ago.

Sir Stelios said: "The ownership of the easy family of brands has generated a steady income stream for me over the last 26 years that I now use to fund my charitable giving via the Stelios Philanthropic Foundation."

His comments come after Castlelake, an investment firm from Minneapolis, said on Thursday that it would not be making another offer for the airline, leaving Apollo as the sole bidder.

EasyJet agreed to Apollo's £7.15-a-share offer, with Kenton Jarvis, the chief executive, saying that Apollo's "experience in the aviation sector makes it a strong partner for easyJet".

Castlelake submitted its first offer to buy easyJet in June before agreeing to buy the airline for £5.2bn in July.

But the agreement fell apart when Apollo outbid its rival, striking a deal to buy easyJet for £5.7bn just weeks later.

EasyJet extended a deadline for Castlelake to submit another bid earlier this week, leading to speculation that it might come back with an improved offer for the airline.

The bidding war helped easyJet's shares to surge to its highest price since the pandemic.

Castlelake initially made four separate offers for easyJet, which were all rejected by the budget airline's board.

However, the airline subsequently accepted Castlelake's fifth offer in June, when the private equity firm attempted a hostile takeover.

EasyJet had accused Castlelake of making "opportunistic" bids and of attempting to buy the airline "on the cheap".

The share price increased sharply after Castlelake made its initial bid in June. However, the stock remains down by over 50pc since its peak over a decade ago.

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