easyJet jumps to London, opens to possible Castlelake bid review
The American global investment company has until 26 June to make a binding offer or withdraw. Meanwhile, the low-cost airline's valuation comes to around GBP 3.39 billion
(Il Sole 24 Ore Radiocor)- Boom in acquisitions on easyJet, which on the London Stock Exchange is riding a double-digit rise. Shares in easyJet rose as much as 12.5 percent to 447.8 pence in early trading, taking the company's valuation to about£3.39 billion ($4.57 billion).
The British low-cost airline has opened up to the possibility of considering any takeover proposal from Castlelake, while describing the US investment firm's timing as 'highly opportunistic'. Castlelake had announced on Friday that it was in the initial stages of evaluating a possible offer for easyJet, but pointed out that no approach had yet been made to the company's board and that there was no certainty that an offer would actually be made. Castlelake has until 26 June to make a binding offer or withdraw.
Closely, EasyJet responded by stating that it would evaluate any potential offer should it be formally made, pointing out that its share price is currently suffering as a result of the war in Iran, as well as the current regulatory environment for the sector. nature. As of last Friday, the title had lost over 22% since the beginning of the year.
In detail, in a statement, the British company explained that it had not had any discussions or received any contact or proposals from the alternative investment company Castlelake. "The Board is fully aware of its duty to maximise shareholder value and will consider any proposal, should one be made. In this evaluation, the Board will pay particular attention to the economic assessment and the practical feasibility of the transaction,' the company said.
EasyJet also emphasised the 'highly opportunistic timing' of Castlelake's interest, noting that its share price is currently 'temporarily depressed due to the situation in the Middle East and its impact on customer confidence and jet fuel prices'. The company also highlighted 'the considerable regulatory, financial and operational challenges associated with a potential acquisition of EasyJet'.
