The Virgin Atlantic-led consortium behind a proposed takeover of Flybe has pumped £10 million into the embattled carrier with immediate effect to “support the business” and “improve liquidity”.
Connect Airways, the consortium comprising Virgin, Stobart Group and Cyrus Capital, has agreed a £10 million bridging loan, with scope for a further £10 million cash injection at a later date.
The move has become necessary after a previous agreement for a £20 million “credit facility”, negotiated as part of its bid for the domestic carrier, fell through, meaning Flybe had been unable to draw funds from the pot.
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