Stelios Comes To Agreement With EasyJet
easyJet has agreed to a deal with its founding member Stelios Haji-Ioasnnou, ending a long-running battle over the use of the “easy” name brand rights.
Haji-Ioasnnou had threatened to stop them from using the name on a number of occasions, including a few months back when easyJet was being dogged by complaints from its customers and its pilots.
Haji-Ioasnnou will receive 0.25% of easyJet's revenue capped at £3.9 million (about $6.2 million) in the first year and £4.95 million the following year. In return, the airline will be allowed to carry the easyJet name and have total freedom in running the company. Prior to the agreement, there were restrictions in place preventing them from making any profit on any non-flight services, as they conflicted with Haji-Ioasnnou’s other business interests.
Haji-Ioannou will remain the company's biggest shareholder with a 38% stake, but will give up his right to appoint himself Chairman. easyJet stock rose 4.5% upon news of the agreement.