EasyJet gives Castlelake four more days to decide on bid
EasyJet PLC (LSE:EZJ) has given private equity group Castlelake four more days to decide whether to make a firm takeover offer, bringing its deadline into line with rival bidder Apollo. Castlelake and Apollo must now confirm by 5pm on Friday, 7 August whether they intend to make binding offers for the airline or walk away.
Easyjet profits plunge 70% as Middle East conflict drives up fuel costs
EasyJet PLC (LSE:EZJ) reported a 70% fall in third-quarter profit as the Middle East conflict pushed up fuel costs and weakened booking demand. The low-cost airline, which has also been busy fielding takeover offers in recent weeks, posted headline profit before tax of £85 million for the three months to June, down from £286 million a year earlier.
EasyJet weighs $7.7 billion rival takeover offer from Apollo amid Castlelake interest
A bidding war has broken out for budget carrier easyJet after Apollo and Castlelake have both submitted takeover offers. In this article EZJ-GB
Apollo gatecrashes Castlelake's easyJet takeover with £5.7 billion offer
Apollo has agreed key terms on a possible £5.7 billion cash offer for easyJet PLC (LSE:EZJ), trumping rival suitor Castlelake and winning the backing of the airline's board. The US private equity giant is proposing £7.15 per share, above the £6.90 that easyJet agreed in principle with Castlelake on Sunday.
easyJet board 'minded to accept' improved Castlelake takeover offer
The easyJet PLC (LSE:EZJ) board said it would be "minded" to recommend a £6.90-a-share takeover offer from investment firm Castlelake if a firm bid is made, as the parties agreed an extension to takeover talks. Castlelake submitted a fifth proposal on Saturday to buy the shares it does not already own for £6.90 in cash, alongside a partial unlisted share alternative.
Easyjet downgraded as Citi and RBC see impediments to Castlelake deal
Shares in easyJet PLC (LSE:EZJ) fell after being downgraded by two brokers after the airline's takeover-fuelled rally left analysts questioning the risk-reward balance. Citi cut its rating to ‘neutral/high risk' from ‘buy/high risk', although it raised its target price to 580p from 500p, following a period where the shares climbed 75% from their mid-May lows after geopolitical concerns eased and Castlelake's bid interest emerged.
EasyJet rejects fourth Castlelake bid but opens books and extends takeover deadline
EasyJet PLC (LSE:EZJ) has rejected a fourth takeover proposal from Castlelake, saying the US private equity firm's latest approach still undervalues the airline and raises significant concerns over whether a deal could be completed. The low-cost carrier has nevertheless agreed to provide Castlelake with limited commercial information after concluding that further due diligence could lead to a higher offer that better reflects the company's value.
Easyjet suitor Castlelake takes takeover offer public after three bids rejected
EasyJet PLC (LSE:EZJ) has rejected a third takeover approach from investment firm Castlelake, prompting the bidder to take its proposed 625p-a-share offer directly to shareholders ahead of a takeover deadline later this week. The US private equity firm said its latest non-binding proposal was rejected on Sunday, with the airline's board having already turned down earlier approaches at 560p and 600p per share.
Value of easyJet's airport slots mean Castlelake approach 'should not be taken lightly'
EasyJet PLC's (LSE:EZJ) sprawling collection of airport slots is attracting almost as much attention as its aircraft fleet, leading Deutsche Bank to upgrade the budget airline and give a sharp hike to its share price target. Swapping his former 'sell' rating for a 'hold' view instead, analyst Jaime Rowbotham raised his target price to 540p from 340p, arguing that growing investor interest has shifted the balance of risks around the stock.
easyJet: Why Castlelake Is Looking To Buy The Airline
easyJet remains a strong buy, with a compelling valuation and robust liquidity despite recent losses and sector headwinds. Castlelake's potential >$4B takeover faces significant regulatory hurdles and undervalues EZJ's owned fleet and cash position. Fleet value analysis suggests a fair takeover price should be at least $7.20 per share, offering 15%+ upside from current levels.
EasyJet fleet alone could be worth double the share price, says Citi
Shares in easyJet PLC (LSE:EZJ) climbed 3.5% after Citi estimated that the airline's aeroplane fleet could be worth double the recent share price. The US investment bank said the company's aircraft assets should help underpin the share price as takeover speculation continues, following the Castlelake announcement that it was exploring a potential bid.
Castlelake interest puts easyJet in play, but a deal faces formidable obstacles
The confirmation by US private investment firm Castlelake that it is considering a possible offer for easyJet PLC (LSE:EZJ) has thrown a spotlight on an airline that has spent years frustrating shareholders, and raises the question of whether outside pressure can unlock value that management has so far failed to deliver. Castlelake's interest is not entirely surprising.
