Cumbrian businessman Andrew Tinkler has entered the fray again in the takeover of Flybe – this time as part of a group of investors offering a rescue deal should the takeover of the trouble airline collapse.

The airline confirmed in a statement published on the London Stock Exchange, that an investor group led by Bateleur Capital LLC and United States-based Mesa Air Group Inc, with support from Mr Tinkler and other “un-named institutional shareholders” had put forward an offer of a capital injection and replacement of funding should the takeover by Connect Airways hit the ground.

Flybe said it received the “preliminary and highly conditional outline contingency proposal” on Tuesday – just over a week after it dismissed a solo rescue approach from Mr Tinkler.

The revelation has seen shared jump in Flybe by 146 per cent.

However, in the statement, Flybe poured cold water on the approach, saying it was committed to the takeover by the Connect Airways consortium, which includes Stobart Aviation, a subsidiary of Mr Tinkler’s previous employer Stobart Group.

It also said it did not believe the proposal would be achievable in the timeframe required to enable Flybe to continue trading.

It added: “Accordingly, the Board emphasises to shareholders that it continues to regard the arrangements entered into with Connect Airways as being the only viable option available to the Company which provides the security that the business needs to continue to trade successfully.” 

Earlier this month, Flybe wrote a letter to shareholders warning them that it would wind up if the takeover by Connect Airways was not voted through.

The letter came after it was revealed Mr Tinkler had tabled his own solo rescue deal for the airline, which was put up for sale in November in the wake of a profit warning blamed on falling demand, a £29m hit from rising fuel costs and the weak pound.

Mr Tinkler himself is a significant shareholder in Flybe, having acquired a 12.23 per cent stake in the airline back in January. He described the purchase as an “investment decision” and stressed that he was not trying to disrupt the Connect Airways takeover. 

While Flybe’s board has agreed the £2.2 million, one pence per share sale to Connect Airways, it needs to be approved by investors when they meet in London on March 4.

The takeover by Connect Airways – which also includes Virgin Atlantic – is already far down the runway, with the consortium already committed £15m of a £20m bridge facility to support Flybe's ongoing working capital and operational requirements.

It is also planning to invest up to £80m to support Flybe’s growth, with additional investment from investment firm DLP Holdings Sarl.

The latest chapter in the Flybe saga comes just days after Mr Tinkler’s own long-running battle with Stobart Group came to a head in the High Court.

A judge ruled that bosses at Stobart Group had lawfully sacked Mr Tinkler last summer after a very public bust up over Mr Tinkler’s conduct and the future direction of the company.

Mr Tinkler was chief executive of Stobart Group between 2007 and 2017 and is widely credited as the brains behind the success of the company.