Bidding war erupts for easyJet as Apollo tops $7.7 billion offer — long the take
Thesis
When multiple deep-pocketed buyers compete to acquire a company, the stock price typically grinds higher as each side raises its offer. Apollo stepping in with a higher bid signals that smart money sees hidden value in easyJet's routes and business model. Even if you can't easily buy the London-listed shares, a rising tide in European airline valuations could lift U.S. carriers with transatlantic exposure. The bidding war also confirms that the travel sector is attractively priced after years of post-pandemic recovery.
Strategy approach
Build an event-driven strategy that enters long ESYJY (OTC ADR) on the daily close when a new, higher competing takeover bid is announced. Hold for up to 15 trading days. Exit on a 6% trailing stop or if the deal is officially rejected by the board.