Shares in low-cost airline easy Jet took off yesterday are adding more than ?100million to its value.

The seven per cent leap was fuelled by rumours of a possible takeover bid and a big leap in revenues.

The City was swirling with talk of an imminent offer from FL Group, the company that runs Icelandair, which already owns 16 per cent of easyJet shares.

Bosses also revealed revenues jumped 20 per cent to more than ?1.38bn.

The Luton-based firm carried more than 30 million passengers in 2005 - up almost 18 per cent.

That included an 11 per cent rise to 2.37 million in December.

The leap was partly down to the introduction of new routes and planes with 10 new destinations in December alone.

Group revenue was also boosted by car hire, hotel deals and in-flight food and drink.