Troubled airline Flybe is to be wound down after administrators failed to find a buyer.

David Pike and Mike Pink from Interpath Advisory, the joint administrators of Flybe Limited, said discussions with parties over a sale of the business have now concluded, without a positive result.

"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," the administrators said.

READ MORE: Airline cancels all flights and ceases trading

As a result, a further 25 employees have been made redundant with immediate effect.

David Pike managing director at Interpath and joint administrator of Flybe Limited, 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."

READ MORE: Flybe Glasgow, Edinburgh, Aberdeen, flights cut

He added: “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."

READ MORE: Airline cuts Scottish flights amid aircraft supply difficulties

He also said: "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.”