Statement regarding intention to not make an offer

Castlelake has formally withdrawn from making an offer for easyJet.

Risk flags

• ●Operational uncertainty arises for easyJet shareholders, as the withdrawal eliminates a potential takeover premium and leaves the company’s standalone strategy untested by external interest. This matters because market expectations may have priced in the possibility of a bid, and the absence of one could affect sentiment.
• ●Disclosure risk is present due to the lack of financial or strategic rationale for Castlelake’s withdrawal. Investors are left without insight into why the offer was abandoned, which limits transparency and impedes informed decision-making.
• ●Legal caveats in the announcement allow Castlelake to revisit its decision under certain circumstances, such as a competing bid or board invitation. This creates residual uncertainty, as the door is not fully closed to future approaches, complicating long-term planning for stakeholders.

Bottom line

This announcement confirms that Castlelake will not pursue an acquisition of easyJet, removing a potential catalyst for easyJet’s share price. The narrative is credible as a formal withdrawal, but the absence of any financial or strategic explanation leaves investors with unanswered questions about the underlying reasons. The only actionable content is the cessation of bid activity, with no new information on easyJet’s prospects or Castlelake’s future intentions. Investors should treat this as a routine regulatory disclosure with no immediate investment implications. The most important takeaway is that, barring a material change or third-party intervention, a Castlelake-led transaction for easyJet is off the table.

Announcement summary

(LSE/AIM:EZJ) Castlelake, L.P. has announced its intention not to make an offer for easyJet plc, following careful consideration. The announcement follows a joint statement by easyJet and Castlelake on 5 July 2026 regarding a possible offer. Castlelake is a global alternative investment manager founded in 2005 with approximately $38 billion in assets under management. Castlelake has invested over $24 billion in aviation since 2005 and maintains over 200 airline relationships. Castlelake is strategically partnered with Brookfield, which has over $1 trillion in assets and a significant presence in the United Kingdom and Europe. Castlelake itself has operated as an established investment manager in the United Kingdom since 2007. Under Rule 2.8 of the City Code on Takeovers and Mergers, Castlelake and any persons acting in concert with it will be bound by certain restrictions as a result of this announcement.

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