The Scottish consortium, Granite Aviation, is thought to be in advanced talks with IAG over the sale of bmi regional for £20 million, according to reports.

British Airways parent company IAG became the owner of the regional airline and bmi baby for a significant price reduction when it acquired bmi from Lufthansa Group for an undisclosed sum last week.

The carrier confirmed at the time of the acquisition that bmibaby and bmi regional would not be part of IAG’s long term plans and would not be integrated into British Airways.

Details of the bmi regional takeover are expected to be announced in the next couple of weeks.