easyJet publishes scheme document for Apollo takeover

what happened

easyJet on Thursday released the scheme document for Apollo's takeover valued at £5.7 billion ($7.54 billion), according to Newsmetry API. Shareholders are set to vote in November, and the airline reaffirmed that it still expects the transaction to be completed by the close of the first quarter of 2027. At the time, $1 equaled 0.7557 pounds.

The deal is facing pushback from labor groups. The document states that several unions across Europe have voiced concerns about the ownership arrangement after the buyout, and the European Works Council opposes the transaction. Among its objections is that staff would receive only 12 months of non-binding assurances.

At the core of the dispute is ownership. easyJet and Apollo are trying to persuade aviation regulators that the carrier will remain majority owned and controlled by European interests. The outcome could set a precedent for private equity acquisitions of Europe's tightly regulated airlines. Court and shareholder meetings are planned for the week starting November 9, and if approved, easyJet could delist from the London Stock Market after more than 25 years.

why it matters

For investors, the key variables are the November vote and regulators' view of the ownership structure. These will determine whether the deal stays on schedule and how it might influence future private equity bids for European carriers.

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