Flybe has today revealed plans to take the company public in a bid to raise £60 million in new shares.

Southampton Airport’s largest carrier, which was one of only a few European airlines to report profits since the financial crisis, said it will put some of the cash raised towards a fleet of new aircraft.

The airline, which will use the rest of the proceeds to support plans to double in size, would not comment on the expected value of the stock market floatation but reports suggest the company could be valued at around £200 million.

The market offering of Flybe, which has its biggest base in the UK at Southampton, will generate a potential windfall for staff who own eight per cent of the shares.

However larger shareholders are not expected to sell their interests in the airline. They include the founding Walker family, which own 70 per cent of shares, and British Airways which holds 15 per cent.

The Flybe brand is eight years old but has traded under various names since Jersey European was founded in 1979.

Chief executive Jim French, who joined the firm in 1990 and owns seven per cent of shares, said: ''We are delighted to bring Flybe to the market. The company has come a long way in a short time, from its origins as a provincial carrier to being one of Europe's leading regional airlines.''

The Exeter-based carrier, which employs more than 2,900 people and operates 215 routes across Europe, posted pre-tax profits of £6.8 million in the year to March 31 on sales of £570.5m, down from £12.8 million the previous year.

The airline, which flew 7.2 million passengers in the last financial year, put in an order in July for 140 Embraer E175 jets to support its planned expansion.

The company is looking to continue its expansion into continental Europe and has hinted at further flight-share agreements with airlines such as Swiss firm Flybaboo and an unnamed Finnish carrier, as well as potential acquisitions.

Flybe said it hoped to complete the planned flotation on the stock market by the end of the year.