Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

Flybe shares soar on report of IAG entering takeover race

Published 26/11/2018, 09:00
© Reuters. FILE PHOTO: An airport worker examines a flybe aircraft before it takes off from Liverpool John Lennon Airport in Liverpool northern England.

(Reuters) - Flybe Group Plc's (L:FLYB) shares surged 40 percent on Monday after the Sunday Telegraph reported that Richard Branson-founded Virgin Atlantic and British Airways owner IAG (L:ICAG) will battle it out to buy the regional airline.

Flybe has been in talks with multiple parties to sell itself as it grapples with falling demand, higher fuel costs and a weak British pound. On Friday it said Virgin was a potential buyer.

IAG is a frontrunner in the race to buy Flybe, the Sunday Telegraph reported on Saturday, citing industry sources. Sky News had previously reported that Stobart Group (L:STOB) was also a likely suitor.

Flybe declined to comment when contacted by Reuters on Monday, while IAG did not immediately respond to a request for comment.

Meanwhile, EasyJet (L:EZJ) and Ryanair (I:RYA) have said they are not interested in buying Flybe.

Flybe has also said it would consider other options besides a sale, such as further reductions in capacity and costs.

IAG shares were last up 1.4 percent at 657.4 pence at 0840 GMT.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.