Flybe’s biggest shareholder Rosedale Aviation has sold its 48.1 per cent stake in the regional airline.
Jersey-based Rosedale sold its entire shareholding in Flybe to institutional investors through broker Liberum Capital. Flybe’s shares fell by around 10 per cent to 92 pence in early trading on the London Stock Exchange.
The move came two days after Flybe announced a further 500 job cuts despite returning to profitability during the last six months.
Flybe CEO Saad Hammad said: “This transaction marks another milestone in Flybe's history. I would like to thank Rosedale Aviation for their support over many years.
“I would also like to take this opportunity to welcome aboard our new shareholders and thank existing investors who have increased their holding as part of this transaction.”
Hammad said that Flybe’s turnaround plan was “gaining momentum” despite a “challenging economic environment”.
“The immediate actions announced in our results will incur significant transitional costs, but will deliver a full payback over the next two years,” added Hammad.
“The board is confident that these initiatives will put the group on a firm foundation for performance improvement and future growth.”
flybe.com