Flybe buyers including Virgin Atlantic forced to revise payment for airline up to £2.8m
PUBLISHED: 09:48 15 January 2019 | UPDATED: 15:15 15 January 2019
The group buying regional airline Flybe has said it will revise its offer to £2.8m, from £2.2m.
The consortium purchasing the airline is made up of Virgin Atlantic, the Stobard Group and Cyrus Capital Partners, and bought the airline last week.
The group had hoped to make a £20m bridge to support Flybe’s current operations, but shares tumbled 32% this morning when the group announced it had failed to meet the conditions to recieve the funds.
Its buyers have instead offered a revised bridge loan of up to £20m, with £10m released today to “support the business”.
Among Flybe’s current operations are flights out of Norwich airport to destinations including Exeter, Alicante and Malaga, as well as offering flights to John O’Groats and Aberdeen through a partnership with Eastern Airways.
Flybe said the revised funding plan “provides the security that the business needs to continue to trade successfully” and that the takeover offer will continue as planned.