Apollo Global Management has clinched control of easyJet in an all-cash take-private valued at
£5.7 billion ($7.7 billion), one of the largest private-equity deals ever struck in commercial
aviation. The 715-pence-per-share offer was recommended by the easyJet board after rival bidder
Castlelake pulled out on August 6, 2026, ending a weeks-long contest for the London-listed
low-cost carrier. Founder Sir Stelios Haji-Ioannou, whose family remains the airline’s largest
shareholder, has backed the deal.[1]
For Apollo, the acquisition adds a household European travel brand to a dealmaking run that has already
put the firm on pace to break its five-year record for capital deployed. For easyJet, it ends more
than two decades on the London Stock Exchange and drops the airline out of the FTSE index that has
counted it as a member since its 2000 IPO.
The deal at a glance
| Term | Detail |
|---|---|
| Buyer | Apollo Global Management (NYSE: APO) |
| Target | easyJet plc (LSE: EZJ) |
| Offer price | 715 pence per share, all cash |
| Equity value | £5.7 billion ($7.7 billion) |
| Structure | Scheme of arrangement, take-private |
| Board stance | Unanimous recommendation to accept |
| Founder support | Sir Stelios Haji-Ioannou (largest shareholder) in favor |
| Rival bidder | Castlelake withdrew August 6, 2026 |
| Employment | No cuts pledged for at least 12 months post-close |
Aviation Week,
Greek Reporter. As of August 7, 2026.
How the bidding war ended
Apollo first surfaced a takeover approach for easyJet in July 2026, prompting a competitive response
from US-based aviation investor Castlelake. For several weeks the two firms circled the carrier while
management ran an auction process supervised by the board. The tie-breaker came on the pricing:
Apollo raised its offer to 715p in cash, a level Castlelake declined to match, citing valuation
discipline as it walked away on August 6.[1]
With Castlelake out, easyJet shares surged on the London open, jumping into double digits and
converging tightly with the offer price — the market’s usual signal that the deal is expected to
close on the announced terms. The founder’s endorsement is decisive here: Stelios controls a large
block through easyGroup and had blocked prior strategic moves he judged value-destructive,
including a 2020 bid from Wizz Air.
Why Apollo wanted it
easyJet fits Apollo’s playbook in three ways. First, it generates real cash: the airline’s balance
sheet has been rebuilt since the pandemic and easyJet Holidays — the package-holiday business — is a
higher-margin, growing add-on that trades at a much richer multiple than the flying business would
alone. Second, the deal is structured to keep easyJet compliant with European Union airline
ownership rules, which cap non-EU control of an EU carrier at 49.9%. Skift reported that the
transaction design uses a European co-investor vehicle to satisfy those thresholds — a template
other US PE firms are likely to copy.[2]
Third, it fits Apollo’s scale. The firm has already led or participated in roughly $27.6 billion of
transactions in 2026 — approaching its 2021 record of $29 billion — and closed a $35 billion private
credit facility for AI company Anthropic in June. Buying a listed low-cost airline for £5.7bn is
consistent with a firm that has moved decisively into infrastructure-adjacent assets with visible
recurring cash flows.
Apollo’s 2026 dealmaking pace
What it means for the London market
easyJet’s exit is another blow to the London Stock Exchange, which has spent much of 2026 watching
FTSE-listed companies get taken private or move their primary listings to New York. The airline’s
market capitalization has hovered near the £4–5 billion range for most of the past 12 months, placing
it squarely inside the FTSE 100 during that period. When the scheme closes, that free float — and
the associated index weight — disappears.
The deal will also test UK regulators. The Competition and Markets Authority will look at the horizontal
effects on European short-haul routes, though easyJet’s overlap with any Apollo portfolio airline is
minimal. The more sensitive review will be at the European Commission and national aviation
regulators, who will scrutinize the ownership structure to ensure the carrier stays majority
EU-controlled after the deal closes.
What to watch next
- Definitive documents: Apollo and easyJet will file the scheme of arrangement documents in the coming weeks. These will spell out the co-investor structure that satisfies EU ownership rules.
- Financing package: The debt/equity split on the deal has not yet been disclosed. In an era of tight credit spreads, expect a chunky term loan B and possibly a high-yield tranche.
- Regulatory clocks: UK CMA jurisdictional review typically takes 40 working days; European antitrust clearance can run longer if a Phase II review is triggered.
- Copycats: If the EU-ownership workaround holds up, expect renewed PE interest in other European carriers — Wizz Air, Ryanair, and IAG have all been the subject of on-and-off private equity chatter.
Sources
- Reuters — Castlelake walks away from easyJet pursuit (Aug 6, 2026)
- Aviation Week — Apollo set for $7.7B easyJet deal as Castlelake walks away
- Greek Reporter — Apollo–easyJet acquisition and Stelios Haji-Ioannou backing (Aug 7, 2026)
- Wall Street Journal — Markets live coverage, August 6, 2026
- Skift — Analysis of PE ownership structures in EU aviation
- Apollo Global Management — corporate site (deal history and AUM)
- London Stock Exchange — easyJet plc (EZJ) listing page
Disclosure: This article is for informational purposes only and is not investment advice.