Apollo Global Management has agreed to acquire British low-cost airline easyJet in a deal valued at $7.7 billion, securing the backing of the airline’s founder, Greek Cypriot entrepreneur Sir Stelios Haji-Ioannou.
The agreement follows the withdrawal of rival bidder Castlelake, leaving Apollo’s offer as the winning proposal. Under the terms of the deal, easyJet shareholders will receive approx. $9.60 per share, representing a 54 percent premium over the airline’s February 27 closing share price before geopolitical tensions in the Middle East affected airline stocks.
The acquisition marks one of the largest private equity investments in European aviation in recent years and could reshape the future of one of the continent’s best-known budget airlines.
Founder Stelios Supports the Deal
Sir Stelios Haji-Ioannou, who founded easyJet in 1995 and remains one of its largest shareholders through his family’s investment vehicle, publicly endorsed Apollo’s bid.
His support proved significant after months of takeover speculation involving several investment firms.
Following the announcement, Apollo said it intends to build on easyJet’s strong position in European aviation while supporting its long-term growth strategy.
Why easyJet Was a Coveted Target
Interest in easyJet intensified because of its valuable portfolio of airport slots at some of Europe’s busiest airports, including London Gatwick, Paris, Geneva and Milan.
The airline has also benefited from a strong recovery in travel demand, with its share price climbing nearly 50 percent in recent months amid takeover speculation.
Apollo submitted its proposal only weeks after easyJet had reached a preliminary agreement with Castlelake on a lower offer. Castlelake later withdrew from the bidding process after deciding not to proceed.
Apollo Plans Long-Term Investment
Apollo described easyJet as a leading European airline with a powerful brand, extensive network and attractive value proposition.
“We are proud to support easyJet in its next phase of growth,” Apollo’s European private equity chief Alex van Hoek said, emphasizing the firm’s commitment to strengthening connectivity across Europe and the United Kingdom.
easyJet Chief Executive Kenton Jarvis welcomed the transaction, saying Apollo’s experience in aviation makes it a strong long-term partner as the airline continues expanding while delivering value to customers.
The acquisition remains subject to regulatory approvals and approval by easyJet shareholders.
Founded by Sir Stelios Haji-Ioannou more than three decades ago, easyJet grew from a small startup into one of Europe’s largest low-cost carriers, helping transform budget air travel across the continent.
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