EasyJet's $20bn Airbus order gets green light from shareholders

(Sharecast News) - EasyJet's shareholders have voted overwhelmingly in favour of the company's planned purchase of 157 A320neo family aircraft from manufacturing giant Airbus. The proposal, which will see the airline buy 157 planes along with purchasing rights for a further 100, was set out in October and is expected to cost $19.9bn spread out over a number of years.

The company said in October that the aggregate actual price for the aircraft would be "substantially lower" because of certain price concessions granted by Airbus. The aircraft will be delivered between 2029 and 2034.

At a general meeting of shareholders at Luton Airport on Tuesday, 99.94% of voting shareholders voted in favour.

"The Board believes the proposed purchase will support positive returns for the business and forms a core part of the delivery of our strategic objectives," said easyJet chair Stephen Hester.

"We are therefore pleased with the strong support that shareholders have shown today by approving the transaction."

EasyJet shares were more or less flat at 498.48p by 1419 in London, while Airbus gained 0.2% to €139.50 in Paris.