Stelios cool on easyJet bid talk

EASYJET founder Stelios Haji-Ioannou played down the chances of a takeover attempt of the low-cost airline by Icelandair, which has snapped up more than 10% of easyJet's shares in recent weeks.

Haji-Ioannou said he would not be interested in selling any of his 41% stake to the Icelandic company, adding that he would know more about Icelandair's intentions after a meeting with the airline later today.

'I don't expect anything too dramatic to happen there,' he said at a shareholder meeting for Stelmar Shipping, another company he founded.

He said European Union rules would limit foreign ownership of easyJet shares at 40%.

Haji-Ioannou also said that he owns easyJet's name, which he licenses to the company, and has the right to be chairman of its board automatically.

'I've been a seller of the stock from time to time, but not at the level it's at now, and certainly not to the stage where I would be anywhere near losing (control),' he said.

EasyJet shares hit an all-time low in September on concerns about rising fuel costs and falling fares as competition bites.

The Luton-based company's shares closed down 1.3% at 174.36p on Tuesday.