EasyJet has agreed to be taken over in a £5.7bn deal by US firm Apollo.

The deal was announced after rival suitor Castlelake said it was dropping out of the bid battle for the no-frills airline.

EasyJet is one of Europe’s largest airlines. It employs more than 19,000 people, and flies around 1,200 routes across 35 European countries.

It was founded by Sir Stelios Haji-Ioannou in 1995 to offer cheap air fares to Europe from the UK.

Its first flights took off in November 1995 flying from Luton to Glasgow and Edinburgh, with its first international flights the following year.

EasyJet accepted an offer from Apollo of £7.15 per share, which trumped Castlelake’s final offer of £6.90 per share.

Apollo said it was “highly supportive” of EasyJet’s existing strategy, adding there was “a significant opportunity to accelerate the operational and commercial ambitions” for the EasyJet Group.

“EasyJet is a leader in European aviation, having built a differentiated market position through its compelling customer proposition, expansive network and strong brand,” said Alex van Hoek, partner and European private equity lead at Apollo.

EasyJet chief executive Kenton Jarvis said “We welcome Apollo’s commitment to our business and our people, and believe that its experience in the aviation sector makes it a strong partner for EasyJet.”