EasyJet rebuffs higher £4.93bn proposal from US investment fund

easyJet rejected Castlelake’s higher £4.93 billion proposal while extending the offer deadline by nine days to allow the US investment firm to submit a more attractive offer. Castlelake’s revised fourth approach was described as valuing easyJet at £6.50 per share and followed earlier rejections of proposals at £6.25, £5.60 and £6 per share. easyJet said its board unanimously rejected the bid, arguing it substantially undervalues the airline and raises concerns about deliverability, despite agreeing to grant Castlelake access to limited commercial information. Under UK rules, Castlelake has until 5pm on July 5 to make a firm offer or walk away. The low-cost carrier cited pressures on its share price linked to worries about the Iran war affecting the airline sector, while pointing to plans for more than £1 billion in pre-tax profits. The potential structure would have Castlelake owning 49% with co-investors, and 51% held by EU national individual investors.