UK markets opened little changed on Monday, with the FTSE 100 broadly flat at 10,679.38 as investors digested a pair of major corporate developments.
EasyJet (LSE:EZJ) confirmed it has agreed in principle to support a recommended £6.90-per-share takeover proposal from US investment firm Castlelake, subject to due diligence and final documentation.
The agreement marks a significant step towards a potential acquisition of the budget airline, though Castlelake has not yet made a firm offer to shareholders.
Castlelake submitted the fifth proposal to the easyJet board on 4 July 2026, seeking to acquire the entire issued and to be issued ordinary share capital not already held by the firm.
The proposal includes a partial unlisted share alternative, which is understood to be aimed at eligible institutional investors and private equity partners rather than ordinary retail shareholders.
Castlelake has previously disclosed it holds 16,241,494 ordinary shares in easyJet, equating to roughly a 2.14% stake, with those shares acquired at 403.23p per share.
The deal structure also involves EU nationals Peter Bellew and Mark Breen, who would hold unlisted equity in the bidding vehicle to satisfy strict European Union aviation ownership and control regulations.
In a separate major transaction, ITV (LSE:ITV) has agreed to sell its Media business to Sky in a deal valued at up to £1.6 billion, fundamentally reshaping the UK broadcasting sector.
The transaction will allow ITV Studios to operate as a standalone global content company, with ITV using proceeds to focus on production and return capital to shareholders.
On currency markets, sterling was broadly unchanged against the US dollar at $1.3353, the euro at €1.1675, the Swiss franc at Fr.1.0733, and the Japanese yen at ¥215.5955.
The Euronext 100 edged up 0.03% to 1,939.03, while Germany’s DAX rose 0.13% to 25,811.91 as European equities remained close to record levels.
In commodities, Brent crude, gold, and natural gas all edged lower, while copper strengthened and Bitcoin fell against sterling to £47,218.88.
Oil prices softened following an OPEC+ agreement to raise output targets, adding further downward pressure to an already cautious energy market.
US markets were closed on Friday for the Independence Day holiday, leaving investors to look ahead to Federal Reserve minutes and comments from central bank policymakers for further direction.