Apollo enters bidding war for easyJet with £5.7bn offer, outbidding Castlelake

The easyJet board has said it is prepared to recommend a £5.7bn all-cash offer from Apollo Global Management, abandoning a previous agreement with rival private equity firm Castlelake.

• The easyJet board announced it was "minded to recommend" Apollo's £7.15-per-share proposal, dropping support for Castlelake's £6.90-per-share offer.
• Apollo said it would back easyJet’s existing strategy and management, and would allow founder Stelios Haji-Ioannou to remain invested rather than forcing a sale.
• Castlelake said it was "considering its options" after easyJet switched loyalty; Apollo has until 7 August to make a firm offer, while Castlelake's deadline is 3 August.
• Both bidders face EU rules requiring majority EU ownership; Apollo said it would "take all necessary steps" to meet the regulations.