SkyWork Airlines (SX, Berne) has announced it has ceased operations and filed for bankruptcy as of Wednesday, August 29, following the collapse of talks with a prospective investor.

The Swiss carrier said in a statement that it had had to return its Operator's Licence (OL) to the Swiss Federal Office for Civil Aviation (FOCA) as it no longer satisfied its requirements.

"Negotiations with a potential partner have failed resulting in SkyWork being unable to provide the financial guarantees necessary to continue its operations," it said.

"As a result, SkyWork Airlines has decided, of its own accord, to return its Operating License to FOCA. As required by law, the company, given its over-indebtedness, has now informed the relevant bankruptcy judge who will oversee proceedings."

SkyWork had operated six Saab 2000s, leased from Erik Thun Group and Rockton Aviation, on scheduled flights to 23 cities across Switzerland, Italy, Austria, Germany, Spain, the United Kingdom, the Netherlands, Croatia, and Jersey.

The carrier experienced similar funding issues in October last year which forced it to temporarily suspend flights. Since then, it has been linked to talks with several investors, one of which was a German investment consortium that included Zeitfracht Gruppe, a freight and logistics specialist, and Nayak Aircraft Service, an MRO provider.