Flybe shareholders want your cash because they ignored numerous warnings on this website and lost theirs
By Tom Winnifrith | Monday 2 June 2025
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
Budget airline Flybe was taken over back in 2019 at what some shareholders deemed to be a far too low price. They argue that management withheld good news in return for pushing through the offer which secured them cushy contacts. I disagree. This was a crap airline which had almost gone bust twice in its quoted existence and which went bust within a year under the new owners. Myself and old father Malcolm Stacey both predicted, correctly , that the shares would collapse but obviously some folks always know better than old TW.
Some of those geniuses who always know better than old TW now want your money for a legal challenge to bring the old management to Court.
They need to raise £50,000 by the end of this month. I think the case is futile and will just show that Flybe was always fecked and that old TW, and old father Comrade Stacey, are not so clueless after all.
Sharesoc has been persuaded to promote this crowd fund. This is the organization that, I kid you not, raised money for a pointless case against Globo (GBO) the fraud I exposed but where the Sharesoc blog championed the company, offering to assist its management battling we evil bears, and slated we sceptics. You may also remember its grifting fund raise for Sirius shareholders. Notwithstanding, not wanting to be seen to be standing alongside such folk, I publish a letter from the Flybe campaign group below.
Maybe you want to support them financially. I will not be dipping into the goat farming fund to do so myself as I do not think the target has a hope in hell of being reached, that the case has legs or that my original bear case analysis was in any way wrong. If you buy shares when two writers with a combined 70 years market experience warn you not to and you lose your cash that is just life.
But free speech and all that, the shareholders write:
In early 2019, upbeat statements by Flybe’s leadership were followed by a dramatic collapse in the value of its shares, wiping out investors and prompting urgent questions which remain unanswered.
Hosking Partners, the company’s largest institutional investor, noisily threatened action then abruptly withdrew. Not one of Flybe’s other top ten institutional holders, nor any of the directors, has responded to efforts to engage them. Lawyers have suggested that private settlements and Non-Disclosure Agreements (NDAs) may be the reason for their silence.
Many individual investors, including Flybe employees who invested their hard-earned savings, feel cheated, frustrated, and ignored. We were obstructed from attending meetings and were given dismissive or diversionary responses as to whether losses could have been avoided. Information appears to have been kept not just from regular shareholders but also Flybe staff. Long-serving former employees believe that the directors themselves may have contributed to its rapid decline, including overseeing questionable transactions. There is continuing unease about the transparency and governance of Flybe’s demise.
We, the Flybe Shareholder Group, need your support to apply for a court order (specifically a non-party or Norwich Pharmacal Order, or NPO) to access the documents needed to discover what happened to Flybe and, if appropriate, bring a claim against Directors’ Insurance to compensate shareholders for undeserved losses.
We have obtained an opinion from a leading barrister specialising in fraud, regulation, and professional negligence, that Flybe and its liquidator’s refusal to comply with the Group’s requests for access to documents to inform the claim are ‘not common sense’ and ‘focused on the technicalities of the matter’- in other words, they are evasive.
Legal experts, including claim financing specialists, agree on the need for the NPO, through which a Judge could order the release of documents to show what was said behind closed doors, to explain the contradictions between directors’ statements and how events unfolded (profit warning, changes to the company’s listing and shareholder rights, strategic review and irregular bid process), and to provide clarity around questionable asset disposals and management decisions.
After almost six years of effort, we are at a Catch 22. It has been a huge challenge to find anyone with the resources to bring the court order, least of all investors who have lost so much money and lack the deep pockets, time, and legal expertise needed to navigate these barriers and bring a claim themselves.
Our only practical option is to crowdfund the court order using CrowdJustice, the leading online crowdfunding platform for legal issues. Your donations could help us obtain key evidence through the court order, potentially de-risking the claim for expert funding backers and enabling us to retain lawyers currently constrained from assisting.