EasyJet plc, the British budget airline and package holiday group headquartered at the UK’s Luton Airport, has reached an agreement in principle with the US investment firm Castlelake on a potential takeover offer valued at around £5.2 billion.

However, one significant regulatory hurdle is that EasyJet is a European company, and EU rules require it to be at least 51% owned by a European company, although Castlelake has previously outlined how it would endeavour to comply with this requirement.

EasyJet is one of Europe’s largest airlines. It employs more than 19,000 people, and flies around 1,200 routes across 35 European countries.

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