Stelios' new airline Fastjet to take on BA and Virgin in transatlantic routes?

PA

The founder of Easyjet's plans to launch a new airline called Fastjet are unlikely to see it rival his former company.

Sir Stelios Haji-Iaonnou's new service is set to take on BA and Virgin on routes to North America, according to the Sunday Telegraph.

The newspaper suggests that Stelios, whose family owns a 37% stake in Easyjet, is worrying with other entrepreneurs on the project, and that Fastjet is not a finalised brand name.

In a statement last week, Easyjet said Sir Stelios alleges the carrier has breached terms of 'comfort letter', which included a 'mutual respect' clause and prevented him from setting up a rival airline or becoming a significant holder in another, making it now null and void.

Stelios told the Telegraph: 'On the one hand, they are briefing the press that my strategy on Easyjet is wrong. On the other hand, they are wasting shareholders' money on expensive lawyers trying to keep me out of the industry.'

Easyjet denies speaking negatively to the media about Stelios, and are reportedly vowed to fight Sir Stelios if Fastjet infringes the rights of the airline and its shareholders.

According to the Press Association, Easyjet said it 'continues to seek constructive dialogue' with the tycoon and easyGroup, the company he owns which controls the 'easy' brand.

%VIRTUAL-Gallery-125386%