EasyJet has issued a statement after reports over the weekend that a US investor is considering putting forward an offer to take over the airline.
Media reports said Minneapolis-based Castlelake was in the early stages of considering making a possible offer. EasyJet did not comment over the weekend.
However, the airline issued a statement this morning (1 June), to say it hasn’t yet been approached by Castlelake, but would ‘consider any proposal’.
The statement said: “The Board of easyJet has not had any discussions with, nor received any approach or proposal from Castlelake.”
It added: “The Board is clear in its duty of aiming to maximise shareholder value and will consider any proposal, should one be made. In any assessment, the Board will be especially mindful of its valuation and deliverability.”
EasyJet said the announcement by Castlelake was ‘highly opportunistic timing when easyJet’s share price is temporarily depressed due to the current situation in the Middle East and its impact on customer confidence and jet fuel prices’.
It added that there would be ‘considerable regulatory, financial and other execution challenges associated with a potential takeover of easyJet’.
The statement continued: “EasyJet is in a position of strength, underpinned by an investment grade balance sheet with a net cash position, alongside strong customer satisfaction and high employee engagement. The Board remains highly confident in easyJet’s strategy and its ability to deliver attractive long-term value for shareholders. The Company remains focused on executing its medium-term target of delivering greater than £1 billion profit before tax.
“There can be no certainty that an offer will be made, nor as to the terms on which any offer might be made.”
Under US regulation, Castlelake has until 26 June to make a firm offer.
