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EasyJet Shares Jump, Traders Cite Report of Bid Interest
EasyJet shares surged up to 11.5% amid takeover rumors by MSC, though MSC denied offers and EasyJet has received no formal bid, with 7.8 million shares traded early.
- On Oct 14 EasyJet shares jumped after Italian media reported MSC was mulling an investment or full control, and EasyJet declined to comment while CEO Johan Lundgren and the board have not confirmed any approach.
- An Italian newspaper Corriere della Sera reported MSC is exploring a bid for EasyJet and may team with an investment fund.
- Market data indicate that approximately 7.8 million shares were traded in the first two hours, with EasyJet operating over 300 aircraft and its equity valued at 3.6 billion.
- MSC promptly denied involvement, with a spokesperson telling Reuters `MSC denies any involvement in this matter`, and the EasyJet board confirmed no offer has been received or considered, while European regulators would review any bid.
- Analysts warn volatility may continue until official confirmation and advise caution for investors weighing operational risks in the UK/EU aviation market involving EasyJet strategic assets.
13 Articles
13 Articles
EasyJet stock jumps following buyout speculation
Shares of EasyJet jumped sharply on October 14 after reports emerged that Mediterranean Shipping Company (MSC) was considering a potential takeover. The airline’s stock rose by around 12% in early trading, marking its largest single-day gain in nearly three years. Investor optimism was reflected in trading volumes, with approximately 7.8 million shares exchanged in the first two hours. Source
The shipping company MSC already owns the Hamburg port operator HHLA, a railway company in Portugal and a freight airline. This means that the expansion of the family company is far from complete. Low-cost aircraft Easyjet could be the next company on the shopping list.
The presence in the high-quality airports and the low market capitalization (4 billion euros) attract several subjects. The sea giant has long been looking for an airline for the transport of passengers
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