REGIONAL airline Flybe has emerged as a dark horse in the race to buy BMI British Midland, the British airline tipped to be sold by Lufthansa.
Flybe, which has expanded rapidly in recent years under Jim French, its chairman and chief executive, is understood to have registered its interest in buying part or all of BMI, including its prized Heathrow operation.
Industry sources think Flybe could emerge as a partner for British Airways, which is also interested in buying BMI, but might fall foul of competition rules because of its large market share at Heathrow.
A successful bid by Flybe would avoid problems with competition watchdogs, and would also thwart Virgin Atlantic, BA’s bitter commercial rival, which is considering its own bid for BMI. BA already holds a 15% stake in Flybe, but said yesterday it was not interested in a joint bid, saying: “We are not in discussions with Flybe on this issue.”
Source and more here
http://business.timesonline.co.uk/tol/business/industry_sectors/transport/article6850810.ece
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He who laughs last obviously has'nt heard the bad news.