Flybe will be wound down as the administrators have been unable to find a buyer for the failed regional carrier.
The latest incarnation of the airline ceased flying in the early hours of January 28 after the High Court appointed Mike Pink and David Pike of Interpath Advisory as administrators on January 27.
It meant the loss of 277 staff and 75,000 forward bookings.
The administrators said on Wednesday that discussions with parties regarding a sale of the business have now concluded. As a result, a further 25 employees have been made redundant with immediate effect.
Lufthansa and Air France-KLM were reportedly interested in seven pairs of take-off and landing slots at Heathrow and five pairs at Amsterdam Schiphol airport.
More: Flybe ceases trading after nine months in operation
“Despite significant interest from a number of credible parties, it has not been possible to develop a transaction in the available timeframe and as such, the joint administrators will now commence the process of winding-down the business and identifying options in relation to the sale of specific rights, interests and assets,” said the administrators in a statement.
David Pike, managing director at Interpath and joint administrator, said: “Over the past two and a half weeks, we’ve held intensive discussions with a number of operators with a view to rescuing the airline and preserving the value in its assets.
“Unfortunately, there was a challenging set of circumstances at play, including the ‘use-it-or-lose-it’ rules related to slots, complexities with European recognition of a potential Temporary Operating Licence and the high costs associated with preserving the Company’s operating platform, which meant there was a limited window in which a clear path forward could be set.
“Furthermore, it was clear from the outset that there was only a limited number of parties who had the necessary strategic fit and who could navigate the complexities of such a transaction to get a deal over the line. We thank those parties for their engagement.
“However, it is with regret that discussions have now been brought to a close without a deal being agreed.
“We’d like to thank a number of stakeholders, including the CAA and the company’s lessors, who gave us the time and support we needed to ensure we were able to explore every available avenue to rescue the business. We’d also like to thank those employees who have been working closely with us since our appointment, and who have worked with diligence and professionalism in this unsettling period.
“Over the coming days, we will continue to work with the lessors to return the aircraft records to them, and will also continue to provide support to those employees who have been impacted by redundancy. We are particularly grateful to those operators and other organisations across the aviation industry who have reached out to us directly to offer support in finding new roles for employees.”