Shares in Silverjet, the business-class only airline, soared 43 per cent to 21.75p after it said it was in takeover discussions after receiving a bid approach.

It did not name its suitor. EasyJet has been rumoured as a potential predator since Silverjet appointed Amir Eilon, a former board member of EasyJet and a close friend of easyJet's founder Stelios Haji-Ioannou, as a non executive.

However, a move into business class only flights would be a change of strategy for easyJet whereas British Airways might be more interested since it has already announced plans to launch business class only flights to New York next year from London City airport, using two A318s. Singapore Airlines will launch all-business-class flights to Los Angeles and New York from Singapore next month.

Silverjet, which operates out of Luton and flies to New York and Dubai became vulnerable after it missed its target to reach break even by last month.

Its planes have been flying only slightly more than half full and it has had to battle with a soaring fuel price as well as the credit crunch hitting demand for business travel.

Brent crude prices hit a new record high yesterday while budget Hong Kong airline Oasis collapsed after just 18 months in operation blaming the sky-high price of fuel.

One analyst Mike Stoddart of Daniel Stewart slapped a zero pence price target on Silverjet in January, saying it was bound to need a rescue refinancing soon.

His fears appeared to be confirmed after the Reuben brothers, who lent the carrier £10 million before Christmas, declined to convert their loan into shares earlier this year. Until today's news of a bid approach, the shares have slumped from 200p a year ago to 12.5p last week.

They ticked up yesterday as rumours of a bid approach leaked into the market, forcing Silverjet to reveal the approach.

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