EasyJet shareholders approved the purchase of Go Fly Ltd. from...
EasyJet shareholders approved the purchase of Go Fly Ltd. from the 3i investment group for 374 million pounds ($552 million) to overtake Ryanair as
Europe's largest low fare airline.
Shareholders at an extraordinary meeting also approved the sale of new shares to raise 277 million pounds to help pay for the acquisition, EasyJet said in a Regulatory News Service statement.
?It's a great acquisition for EasyJet,? said Yan Derocles, an analyst at Credit Lyonnais, ?The two airlines' business models are very similar. Their networks are very different.?
The London Luton airport based EasyJet is gaining aircraft, passengers and routes by buying Go. It also has an option to buy the British Airways German unit, DBA. EasyJet has grown by adding new bases and routes while winning budget conscious travelers from full service rivals such as Air France and British Airways.