EasyJet goes after Go

EasyJet says talks with 3i are at ‘an advanced stage’ regarding the acquisition of low-cost airline Go.

Low-cost airline operator easyJet has confirmed that it is looking to acquire Go as part of its expansion in the European short haul market. The announcement, made to the London Stock Exchange, states that talks with 3i, which acquired Go from British Airways last year, are at an advanced stage.

3i paid £110m for the airline in June 2001. The airline industry suffered a drop in business as a result of the events of September 11. However, the short haul market has since recovered considerably, with easyJet reporting a 30 per cent year on year increase in passenger numbers for March 2002.

3i and easyJet have declined to comment further on the announcement.