Leeds Bradford: EasyJet Route News & Schedule Updates

YorkshireLad said:

To sum it up: private equity = bad
They will absolutely consolidate into Belfast, Edinburgh, Manchester, Luton, Gatwick, Paris, Berlin and any other major bases. This often ends up badly, many a bankruptcy story starts with private equity

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Utter, utter nonsence….so you are saying if they do buy it for many many millions they will go bankrupt .

Telegraph reporting easyJet have dismissed it anyway.

752 said:

Telegraph reporting easyJet have dismissed it anyway.

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That may be so but often in these situations have no smoke without fire:
Could be just an initial opening bid rejected.
Could be U2 are exploring a sale opportunity so could be one (the first) of several potential buyers to end up showing their hand.
Regardless of all that it still doesn't explain why our PMI and AGP are not on sale for S27, and when you consider that is neither seat only or holidays available then things ain't looking promising - which is a huge shame

Sherburnflyer92 said:

The issue being a new route from anywhere does not instantly turn a profit.

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I’m referring to existing routes.

On the potential EasyJet take over there has been no bid from Castlake they are a US company looking at a potential takeover and they themselves are owned by Brookfield Asset Management a Canadian investment group.

I've had a quick look at EasyJets shareholders list it turns out that around 35% of the company is currently owned by various investment institutions including Blackrock, Aberdeen, Hargreaves Lansdown, UBS, Shroders Investments group, Invesco and yes Castlake with 2.5%

Biggest single shareholders. Is the Stellios family with 15% who have been critical of EasyJet management over the years..

If Castlake decide to bid and enough of the above back it I would guess it would go through dependant on how much Castlake eventually bid, the board who have rejected the notion of the potential takeover are effectively adviser acting in what they consider to be the best interests of the company but the final decision is the shareholders not that of the management.

It's wait and see Castlake have until 26th June to bid or go away for 6 months minium before they can bid again.


Edit: Note when a board of directors reject an offer there can be an element of self preservation as a cull often follows.

rollo said:

On the potential EasyJet take over there has no bid from Castlake they are a US company looking at a potential takeover and they are owned by Brookfield Asset Management a Canadian investment group.

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As a non eu company they'd only be allowed a 49% stake

There's ways round it Jerry, set up a dual class share structure for example creating by a dual class of shares with different voting rights or set up what's called a front consortium with "tame" European individual(s)) or company are two of the options to gain control.

There's many ways large companies avoid overseas regulation and taxes you only need to look at the way the high tech companies operate, Apple massively reduce their UK tax bill for example via Dublin

I'm afraid that at the moment EasyJet are vulnerable to aquasition due losses and a low share price.