Shares in the low cost airline easyJet were gaining some ground in early trade following a revised bid from private equity suitor Castlelake. The third offer of 625p per share represents a significant premium to recent prices, even taking into account the downside seen off the back of the Middle East conflict. Castlelake believes this offer prices in the company’s mid-term ambition of achieving £1bn profits but easyJet management have this morning rebutted the idea, believing even this price is opportunistic. With the offer window now closing for Castlelake, they will have to make a formal declaration by the end of the week. The inertia in early trade suggests the market feels this might not materialise. By 8.25am, the easyJet share price was up just 4% at 526p.
The defence engineering company Babcock issued full year results this morning that whilst carrying some good headline metrics including revenues 8% higher and profits up 19% if you take out a one off charge on a warship redesign, clearly still raised some questions with investors. Forward bookings are sufficient to see the FY27 picture reiterated, but these are down slightly from the comparative. The Babcock share price was down 4% in early trade.
The grocery ecommerce platform provider Ocado saw some activity on its share price this morning following media speculation that the company was seeking to replace its CEO in a bid to shore up a collapsing valuation. The company responded, stating that it regularly reviews succession plans including engaging with clients. Having spiked higher at the bell, the Ocado share price was down 4% shortly after the open.
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Possible Offer for easyJet plc - - easyJet (EZJ)
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