A hedge fund tycoon is threatening to block the cut-price rescue deal for troubled budget airline Flybe. Hosking Partners, run by Tory donor Jeremy Hosking, could seek an injunction to stop the £2.2m sale to a consortium led by Sir Richard Branson’s Virgin Atlantic, Sky News reported. The deal was restructured last week as Flybe fought to stay alive under pressure from its bank. Virgin Atlantic, Stobart and private equity firm Cyrus Capital are set to pay £2.8m for Flybe’s trading assets, and inject £10m of a £20m bridging loan immediately.