EasyJet has rejected a takeover approach and announced plans to raise £1.2bn from shareholders to help its recovery from the pandemic.
Bloomberg reported that the bidder was rival Wizz Air, although it declined to comment, reports BBC.
EasyJet's boss said the fundraising would allow the firm "to accelerate our post‐Covid‐19 recovery plan" instead.
The carrier has already raised emergency funds during the crisis, having been affected by Covid-related travel restrictions.
EasyJet also plans to raise $400m (£290m) in debt.