easyJet Group has rejected the fourth takeover bid by Castlelake and its investment partners, valued at GBP4.9 billion British pounds (USD6.5 billion), but agreed to grant the prospective buyers access to "limited commercial information" in a hope of securing an even higher proposal.

"The board of easyJet continues to regard the Fourth Proposal as substantially undervaluing the company and its prospects and continuing to give rise to significant questions of deliverability," the LCC said.

However, it added that giving Castlelake and its partners access to some information "might produce a more attractive proposal that better reflects the value of easyJet and its prospects and the interests of shareholders thereto." Nonetheless, it remains concerned about the ownership structure and the "deliverability" of the potential takeover.

Concurrently, easyJet Group requested an extension to the deadline for the bid. The UK Panel on Takeovers and Mergers agreed to extend the deadline for a binding bid to July 5 to allow Castlelake more time to process the information made available by the LCC.

The US-based fund initially offered GBP5.6 (USD7.4) per share, valuing easyJet group at around GBP4.25 billion (USD5.6 billion), but as the LCC rejected subsequent offers, the bid increased to GBP6.5 (USD8.6) per share in the fourth non-binding proposal. Castlelake teamed up with other co-investors, including Brookfield Asset Management and industry veterans Peter Bellew and Mark Breen, to acquire a 100% stake in easyJet. To comply with the EU control and ownership rules, Bellew and Breen, both Irish nationals, would take a 51% stake, while Castlelake and other co-investors would have a 49% stake.

Even though the bids are higher than easyJet's current share price (GBP5.66 pounds on the opening of trade on June 25), the airline continues to believe that the offer opportunistically takes advantage of the current crisis in the industry and undervalues the long-term value of the airline. Castlelake's non-binding offers were unsolicited.