Easyjet takeover: Airline gives Castlelake until Friday to trump bid from rival Apollo

See more This is Money on Google - save us as a Preferred Source Updated: 06:10 EDT, 3 August 2026 Easyjet's private equity suitors have until Friday to make a formal takeover bid for the firm, after the airline extended Castlelake's deadline to match rival bidder Apollo. The airline today reiterated its recommendation to shareholders to accept the Apollo deal, which values the firm at £7.15 per share. However, Castlelake now has until Friday to submit an improved bid, as Easyjet extended the 'put up or shut up' deadline from 5pm today.Last month, the airline said it had agreed to a £5.5billion takeover by Castlelake after rejecting four of its previous bids, branding them 'highly opportunistic'.But the US firm was trumped days later when rival Apollo submitted its own £5.7billion offer which was accepted by Easyjet's board.'Friday's outcome will reveal if appetite for Easyjet has been affected by the latest events in the Middle East,' said Russ Mould, investment director at stockbroker AJ Bell. Easyjet has extended the deadline for Castlelake to make an improved offer to Friday Easyjet profits plunged by 70 per cent in the third quarter as the Iran war fuelled a surge in fuel prices while customer demand fell.Even if a formal takeover is agreed this week, questions remain over ownership structures with Easyjet expected to face regulatory hurdles.The European Union is reportedly preparing to review ownership rules to prevent foreign investors gaining control. The rules still apply to Easyjet after it established a subsidiary in Austria to allow it to continue to operate flights in the bloc after Brexit.Any bid for Easyjet is also likely to require the backing of founder Sir Stelios Haji-Ioannou and his family, who still own a 15.3 per cent stake in the company.Mould added: 'If a deal does end up going through, EasyJet shareholders might have mixed feelings – with a takeout price above levels seen in recent years but below the immediate post-Covid highs and less than half the levels attained in the mid-to-late 2010s.'A takeover would mark another blow to the London stock market, which has seen a frenzy of takeover activity from foreign buyers. Other targeted companies include Tate & Lyle, Beazley, Schroders and the owner of William Hill.DIY INVESTING PLATFORMSAJ BellAJ BellEasy investing and ready-made portfoliosHargreaves LansdownHargreaves LansdownFree fund dealing and investment ideasinteractive investorinteractive investorFlat-fee investing from £4.99 per monthFreetradeFreetradeInvesting Isa now free on basic planTrading 212Trading 212Free share dealing and no account feeAffiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.Compare the best investing account for you