Cypriot carrier Cobalt Air has cancelled all flights to and from its base at Larnaca International airport.
The airline launched in 2016, and had offered flights from Gatwick, Heathrow, Manchester and Stansted.
But in a statement on its website Cobalt said:
“Cobalt regrets to announce that it will be cancelling all flights as of 2350 on October 17, 2018 due to indefinite suspension of Cobalt’s operations. As a result, future flights or services provided by Cobalt will be cancelled and will no longer operate.
“Passengers who have un-flown tickets are instructed not to go to Larnaca Airport or any departure airport tomorrow, October 18, 2018 as no Cobalt flights will operate and no Cobalt staff will be present.
“For refunds, please contact your credit card provider or Travel Agent.
“We sincerely apologise once again and would like to thank our very loyal customers for their support over the last two years of Cobalt operations.”
According to local media, the airline had failed to reach a new deal with potential investors.
The news follows the collapse of Nordic airline Primera Air earlier this month.