U.S. investment firm Castlelake has taken its bid for easyJet directly to shareholders, revealing a £4.7bn takeover proposal that was recently rejected by the airline’s board. The company made the offer public on Monday after the carrier’s directors turned down the approach, describing the price as too low.
Escalating Bids Rejected
The proposal represents an increased effort to acquire the low-cost carrier. Castlelake disclosed that easyJet’s board rejected the latest cash offer of 625p per share on Sunday. This follows two prior unsuccessful bids priced at 560p and 600p per share, respectively.
Despite the board’s rejection, Castlelake’s decision to go public signals a strategy to pressure the airline’s leadership. By valuing easyJet at just over £4.7 billion, the firm is effectively inviting shareholders to evaluate the merits of the offer independently.
Source: The Guardian