EasyJet (LSE:EZJ) has said that private investment firm Castlelake does not intend to make an offer for the airline, closing off a potential takeover first flagged in a joint statement on 5 July.
Castlelake had been weighing a possible offer for the budget carrier before deciding against proceeding, following what it described as constructive engagement with easyJet's board and management.
"Castlelake is very appreciative of the constructive engagement with the easyJet Board and management team," the firm said, thanking them for their time and consideration of the potential transaction.
The confirmation triggers restrictions under Rule 2.8 of the Takeover Code, which normally bar Castlelake from returning with a fresh approach for six months.
News Intelligence what this means for the company
Castlelake has withdrawn from its pursuit of easyJet, announced on 6 August after a July approach that triggered a competitive bid process. The withdrawal triggers a six-month bar under Takeover Code Rule 2.8, though carve-outs exist if Apollo Global Management or a third party announces a firm bid, or if the board agrees to waive the restriction. Apollo remains the active bidder in play, having floated a non-firm, all-cash approach at £7.15 per share in July.
- Apollo Global Management is now the sole named bidder with a live approach; the six-month Rule 2.8 bar on Castlelake removes a competing bidder and simplifies the path for Apollo to either firm up its offer or walk away without fresh competition from Castlelake during that window.
The removal of a second bidder reduces near-term takeover tension but does not resolve easyJet's strategic position—Apollo's offer remains non-binding and subject to its own deadline. The airline's operational case (disciplined capacity growth, holiday revenue expansion, ancillary income growth) remains independent of the bid outcome.
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