EasyJet seeks to encourage higher Castlelake takeover offer through data access

EasyJet said it is seeking to encourage a higher takeover offer from US private equity firm Castlelake by granting access to “limited commercial information,” while extending the deadline for a firm proposal by nine days to 5 July. The move follows Castlelake’s submission of a fourth indicative bid, increasing the implied price to £6.50 per share from £6.25. EasyJet again rejected the bid, but indicated that the additional information access could result in a more acceptable proposal that better reflects the airline’s value and prospects. Castlelake’s latest terms still retain a partial alternative for shareholders to receive unlisted, non-voting, non-transferable shares in an acquisition vehicle. EasyJet continues to argue the approach “substantially undervalues” the company and raises “significant questions of deliverability,” while pointing to an investment-grade net cash balance sheet, strong customer satisfaction and high employee engagement. Castlelake had not commented in the article.