The budget airline was up 10.5% shortly after 8:15 a.m. in London (3:15 a.m. E.T.), hitting a new 52-week high.<\/p>\n
Castlelake’s improved plan to take EasyJet private, which was agreed on Sunday, comes after the carrier last month rejected a \u00a34.93 billion proposal from the private equity firm. Castlelake has made five bids for EasyJet in total. <\/p>\n
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EasyJet.<\/p>\n
The new bid represents a cash offer of $6.90 per share. Castlelake now has until Aug. 3 to make a firm offer or walk away from the deal.<\/p>\n
The offer comes amid a period of stress for the global aviation sector, as airlines navigate a jet fuel squeeze caused by the conflict in the Middle East. The International Air Transport Association last month warned<\/a> that global airlines could see their profits halved this year due to rising jet fuel costs, which are expected to be about 70% higher year-on-year.<\/p>\n In its latest half-year earnings, published May 21, EasyJet reported a pre-tax loss of \u00a3552 million for the six months ending March 31, despite a 12% jump in half-year revenues to \u00a34 billion, warning of price rises and slower bookings. <\/p>\n EasyJet and Castlelake said in a joint statement on Sunday: “In discussions between the parties, Castlelake has emphasised its tremendous respect for\u00a0easyJet\u00a0and its people, along with its intention to support its future growth and transformation to a stronger, more resilient European airline for the benefit of all stakeholders if the transaction proceeds to completion.”<\/p>\n “Castlelake is supportive of\u00a0easyJet’s fleet modernization program, which it regards as central to the Company’s long-term competitiveness, efficiency and sustainability objectives.”<\/p>\n This is breaking news. Please refresh for updates.<\/p>\n