EasyJet has agreed in principle to be acquired by Apollo Global Management for £5.7 billion ($6.6 billion), ending a protracted takeover battle for the British low-cost carrier.
The board accepted Apollo's all-cash offer of £7.15 per share, judging it a superior outcome for shareholders compared to the previous proposal from rival US private equity firm Castlelake, which had offered £6.90 per share.
The decision marks a decisive shift in the control of the UK's largest budget airline.
EasyJet had initially agreed to Castlelake's offer just days prior, but Apollo's higher bid prompted the board to abandon the earlier agreement.
The transaction is structured as a cash deal, providing immediate liquidity to shareholders and removing the uncertainty that has hung over the stock since the initial bidding war commenced.
For investors, the resolution brings clarity to a volatile period for the stock.