easyJet plc (LSE:EZJ) has rejected a takeover approach from Wizz Air Holdings Plc (LSE:WIZZ) that would have created a low-cost airline to rival Ryanair, opting instead to raise £1.2 billion (€1.4 bn) from shareholders and go it alone in an industry battling to recover from the pandemic. EasyJet declined to name its suitor, but a source said it was Wizz Air. Wizz also declined to comment.

EasyJet said the all-share approach fundamentally undervalued its business and added the potential bidder had since said it was no longer interested in a deal. The approach was "highly conditional in its nature which made it very uncertain in terms of the deliverability", said easyJet Chief Executive Officer Johan Lundgren, without giving details.