EasyJet rejects takeover bid and plans £1.2bn share sale

EasyJet has rejected an unsolicited takeover approach and announced plans to raise £1.2bn from shareholders to boost its Covid recovery.

The low-cost airline said the bid undervalued the company and the potential buyer had since said it was no longer interested.

Its boss said a share sale would also enable the firm "to accelerate our post‐Covid‐19 recovery plan".

EasyJet also plans to raise $400m (£290m) in debt.

The firm has raised billions of pounds since the start of the pandemic, having been impacted by related travel restrictions.

It said on Thursday it was "well-placed to emerge from the pandemic", but the share sale would provide a buffer should further coronavirus-related lockdowns delay the airline's recovery.