From the London Stock exchange:
EASYJET EVALUATES FRANCHISE OPPORTUNITY
easyJet announces today that it is evaluating an opportunity to franchise its brand following a recent joint approach by Jeddah based National Air Services (NAS) and Dubai based Abraaj Capital, a major private equity firm in the Middle East, to use the easyJet name in the Arabian Gulf. NAS is applying for a licence to operate domestic flights initially in the Kingdom of Saudi Arabia and at a later date other flights within the Arabian Gulf - a region with minimal low-cost airline penetration.
The decision on whether to progress with this opportunity, which will not involve easyJet investing any equity or cash, will be made in conjunction with NAS and will depend on the progress of its application for a licence, the completion of an agreement in a form satisfactory to the Board of easyJet, and the delivery of significant shareholder value. Since it is expected that this will take the remainder of 2006, a decision in relation to this opportunity is unlikely before early 2007.
Hmm? What is behind this announcment?
