EasyJet shares reveal deal risk as $7.3 billion takeover advances

UK budget airline easyJet agreed in principle to a £5.5 billion ($7.34 billion) takeover offer from US investor Castlelake at £6.90 per share, a nearly 24% premium to the prior close. Shares rose more than 9% to £6.14 but stayed well below the bid price as investors priced in regulatory risk tied to EU ownership rules that require majority EU ownership of bloc-operating carriers. Castlelake, which would own 49% of the bid vehicle alongside two EU-national partners, faces complex EU ownership hurdles, shareholder approval uncertainty, and possible competing bids.