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Absolutely they would. This deal isn't about saving flybe, or stobart growing, it's about VS, one of BA and EI's main competitors, placing themselves in a position to grow. If VS didn't do this they would remain fairly stagnant, as MAN couldn't grow without more structured feed. Not all of BAs passengers come from London, if MAN is an alternative option from the Midlands, the North or by flying down from Glasgow or the southwest, then BA lose out.

And this why BA could be tempted to out bid Virgin and kill the deal at birth but to be honest only speculating but its certainly bought this forum to lfe with loads of differing opinions.

Intresting times.
 
Flybe announced to the stock market at 4.25pm five minutes before close of business that they have sold their Gatwick slots for £4.5 million.

Purchaser Vueling.

Info per Daily Telegraph.
 
All their Gatwick slots? That will be a huge change in direction for them.
 
Sky News reporting that Andrew Tinkler ex Stobart boss bought 10%of Flybe's shares yesterday to be announced on Monday by the London Stock Exchange. Also reported that a second bidder is possible but not confirmed.

Mr Tinkler stated he is not trying to disrupt the deal but he is at the center of the row with Stobart board.
 
Taken, with apologies, from Pprune:

The sale is going to bypass shareholders, so now a done deal: (From Head from Points)

Flybe Group plc (“Flybe” or the “Company”)

Offer Update

On 11 January 2019, Connect Airways Limited (“Connect Airways”) announced a recommended cash offer (the “Recommended Offer”) for all of the issued and to be issued share capital of Flybe Group plc (“Flybe”).

Together with the announcement of the Recommended Offer, Flybe entered into a secured bridge loan facility (the “Bridge Facility Agreement”) with the shareholders of Connect Airways (the “Consortium”) pursuant to which the Consortium agreed to make available to Flybe a committed credit facility of up to £20 million, subject to a number of conditions. Despite significant efforts it has not been possible to satisfy these conditions and so Flybe has been unable to draw any funds under the Bridge Facility Agreement.

Divestment of Flybe Limited (including Flybe Aviation Services Limited) and Flybe.com Limited and agreement on a Revised Bridge Facility

In light of the above, the Board of Flybe and Connect Airways are pleased to announce that they have reached agreement on:

· the purchase by Connect Airways of the Group’s main trading company, Flybe Limited (including Flybe Aviation Services Limited) and the digital company Flybe.com Limited for £2.8 million (the “Divestment”), subject only to a limited number of conditions; and

· a revised Bridge Facility of up to £20 million to provide funding to Flybe Limited, of which £10 million will be released today to support the business. In addition, a number of improved agreements with banks have also been reached today to improve liquidity.

Furthermore, the Consortium has confirmed to Flybe that its plans for the future of the Flybe business including the combination with Stobart Air remain as set out in the Recommended Offer including its commitment to provide £80 million of further funding.

Flybe confirms that following its transfer to a Standard Listing which becomes effective on 17 January 2019, the Divestment will not require shareholder approval. The long stop date for the Divestment is 22 February 2019.

The Board of Flybe believes that obtaining this revised facility from the Consortium provides the security that the business needs to continue to trade successfully. This preserves the interests of its stakeholders, customers, employees, partners and pension members.

Status of recommended offer by the Consortium for Flybe

Shareholders should note that the Recommended Offer announced on 11 January 2019 will proceed irrespective of the Divestment. Further communications will be made as appropriate.
 
I don't know if anyone recalls but I remember seeing bar chart which showed us Flybes most profitable bases. It may have been on the forum or ***Links to other Social Media platforms are not permitted***- but maybe that will be a good indicator as to which routes stay and which have a good chance of being cut. However some high frequency bases will have lower load factors due to higher frequencies.
 
I don't know if anyone recalls but I remember seeing bar chart which showed us Flybes most profitable bases. It may have been on the forum or ***Links to other Social Media platforms are not permitted***- but maybe that will be a good indicator as to which routes stay and which have a good chance of being cut. However some high frequency bases will have lower load factors due to higher frequencies.
The problem with that report is that many non bases like AMS were featured. It was done off the average price i believe and the costs per route and base would've been unknown.
 
I don't know if anyone recalls but I remember seeing bar chart which showed us Flybes most profitable bases. It may have been on the forum or ***Links to other Social Media platforms are not permitted***- but maybe that will be a good indicator as to which routes stay and which have a good chance of being cut. However some high frequency bases will have lower load factors due to higher frequencies.
The problem with that report is that many non bases like AMS were featured. It was done off the average price i believe and the costs per route and base would've been unknown.

I think it was @Ray Finkle in the BHX Flybe thread that made a good point which is that the profitability of a certain base or route is essentially meaningless if that base/route doesn't fit in with the new owners plan for Flybe.

Beyond expanding Flybe/Virgins feed into MAN, LHR when more slots become available, and maybe LGW, I think it will have to be a case of wait and see with everything else.
 
I can`t see any expansion at LGW as they have just sold the slots but tidying up the Manchester flights to connect better with VS flights
I`m sure will happen. BHX seems the odd one at present as I can see the timetable being reduced with some of the oddball routes
taken out ( French regional routes)
 
More in the Flybe saga! Hosking Partners Flybe's biggest shareholders have requested an Extraordinary General Meeting to oust the Chairman Simon Laffin! The investors if successful would install Eric kohn as Chairman who would then lead an investigation into the sale proccess by the Flybe board of the airline to the Virgin led consortium.
https://uk.news.yahoo.com/flybe-row-takes-off-hosking-115300075.html?guccounter=2
 
Incredibly I'm beginning to have some sympathy for an investment house in Hoskins and partners given the Flybe board had an offer of 40p a share tabled a few months ago from Stobart and after that fell through the share price fell to 16p then Flybe announced an agreed sale to Virgin at 1p a share and are trying to deny shareholders a vote and force the sale through.

Definitely seems questions to be answered, lets face it who wouldn't be miffed if the value of your holding was worth 1/40th of a few months ago.

I fear for Flybe if this is not sorted pronto.
 
Yep it seems like they valued Flybe too highly or hoped the Stobart bid would trigger a bidding war and then VS consortium deal seems like sheer desperation. I really do hope that whatever happens flybe survives as an airline.
 
Incredibly I'm beginning to have some sympathy for an investment house in Hoskins and partners given the Flybe board had an offer of 40p a share tabled a few months ago from Stobart and after that fell through the share price fell to 16p then Flybe announced an agreed sale to Virgin at 1p a share and are trying to deny shareholders a vote and force the sale through.

Definitely seems questions to be answered, lets face it who wouldn't be miffed if the value of your holding was worth 1/40th of a few months ago.

I fear for Flybe if this is not sorted pronto.
I wonder if anyone bought shares at £2.95 at the time of flotation in 2010 and held on to them ever since - in fact they rose a bit above £3 initially. If anyone has held on to them they showed great faith and even greater optimism.

I've been re-reading comtemporary press reports of the flotation and there was a degree of cycnicism amongst financial journalists then as to how successful an investment Flybe would be in the long term.

Unfortunately for many, their cynicism has proved to be justified.
 
Reports in the press this evening say Flybe bosses are warning shareholders not to reject the deal with Virgin as it will lead to the company winding up.
 
This is just an utter power play..either the airline passes to connect on the 22nd February which does not need shareholder approval OR that's not true and if the shareholders vote against the deal, Flybe is wound up..
There seems to be a massive smoke screen going on...I can only imagine how their poor staff feel...this is people's lives not some boardroom monopoly being played out by over ego'd incompetents..
Rant over
 
What a dog's dinner.

As I understand it the sale of Flybe Ltd (the airline ) to Connect must go through by 22nd Feb for the sale to complete and keep them flying and does not need a shareholder vote. On March 4th a shareholder vote will be held on Flybe (the group) to presumably overturn this or at least hold the board to account, how all this works is beyond me but my conclusion is Flybe are bust and need the deal to go through as potentially they could be trading illegally.

At the risk of drifting what a mess European aviation is in look at the last 15 months or so, Monarch, Air Berlin, Small Planet, Primera Germainia, etc plus Norwegian trying to offload 150 plus new aircraft, raising cash, reporting a £270 million 3 month loss an reports of closing bases. Then Thomas Cook looking to sell the airline to keep the wider business afloat and yesterday TUI shares drop 20%

I don't know who said the way to becoming a millionaire was to be a billionair and then start an airline but he had a point, even Ryanair reported a small £14 million loss.
 
https://news.sky.com/story/arizona-airline-mesa-swoops-with-bid-to-ground-flybe-deal-11642267

Sky News reports that an American commuter airline is part of a consortium that is proposing to inject £65 million of new equity at around 4.5pence per share into Flybe as an alternative to the Virgin purchase.

New debt facilities and potential asset sales would create new funding to the tune of circa £120 million.

The proposal is believed to have been put to the Flybe board. It would mean Flybe continuing to be listed in its own right on the London Stock exchange.
 
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