EasyJet founder Stelios Haji-Ioannou (left) said he still had no intention of selling down his share in the low-cost airline.
His comments dampened fresh talk of a possible takeover by major shareholder Icelandair.
"There is no change in my position. The stock is undervalued and we are working with the board to improve shareholder value," Mr Haji-Ioannou said.
Icelandair purchased a further 1.1 per cent stake in EasyJet on Tuesday, bringing its share to 13 per cent. Dealers said the move revived talk of a possible takeover.
Mr Haji-Ioannou, who owns 41 per cent of EasyJet along with his family, has consistently said he has no intention of selling down his stake in the airline he founded in 1995.
Reykjavik-based Icelandair started building its stake in October last year, fuelling takeover talk, but has said the move was purely a long-term trade investment.