Cypriot low-cost carrier Cobalt has cancelled all flights as it ‘indefinitely’ suspended operations overnight.
According to local media, the airline was unable to secure a deal with a potential new investor. Cobalt’s main backer was Chinese company Avic Joy Air.
A statement on Cobalt’s website advises passengers not to travel to Larnaca or any airport from which they were due to depart.
Customers with unused tickets should contact their credit card provider or travel agent for a refund.
The Cypriot government said it would help travellers get back to their starting point, but would only pay for return tickets, according to the BBC.
Cobalt’s collapse comes just weeks after budget carrier Primera Air suddenly ceased trading a year to the day after the demise of Monarch, which forced the UK government to review airline insolvency procedures.
The airline had operated flights to and from Cyprus since 2016. Earlier this year it launched services from Gatwick and Heathrow and also signed an interline agreement with Etihad Airways to create connections to the Middle East and beyond.
The airline has not said what will happen next, leaving its employees in limbo.