Overstone Global Equity Fund on easyJet plc
Thesis
The easyJet holding benefited from rival acquisition offers. Castlelake initially proposed 560 pence per share, which the managers considered opportunistic. Apollo then agreed to purchase the company at 715 pence, setting a reference value for the continuing position. The fund still holds the shares but is reviewing the position as the trading price approaches the offer consideration.
“The final successful offer came from Apollo who agreed with the board to buy the company at 715p a share.”
Key risks
- Remaining upside narrows as shares approach 715 pence.
- Alternative investments may offer better risk-reward than continued ownership.