British airline EasyJet has agreed to be taken over by US firm Apollo in a deal worth £5.7 billion. The company officially announced the agreement. It came after rival bidder Castlelake said it was dropping out of the bidding process.
EasyJet is one of Europe's largest airlines. It employs more than 19,000 people and operates flights on around 1,200 routes across 35 European countries. The airline was founded by Sir Stelios Haji-Ioannou in 1995 to offer cheap fares from the UK to Europe. Its first flights took off in November 1995 from Luton to Glasgow and Edinburgh, with international flights starting the following year.
EasyJet accepted Apollo's offer of £7.15 per share, which was higher than Castlelake's final offer of £6.90 per share. Apollo said it was "highly supportive" of EasyJet's existing strategy and saw "a significant opportunity to accelerate the operational and commercial ambitions" of the EasyJet Group.
Alex van Hoek, partner and European private equity lead at Apollo, said: "EasyJet is a leader in European aviation, having built a differentiated market position through its compelling customer proposition, expansive network and strong brand."
EasyJet chief executive Kenton Jarvis said: "We welcome Apollo's commitment to our business and our people, and believe that its experience in the aviation sector makes it a strong partner for EasyJet."