Monarch is based at Luton airport and employs about 2,800 people. 

In 2014, it agreed a rescue deal of more than £100m that resulted in pay cuts of up to 30% for staff and hundreds of redundancies. 

As part of the deal, Greybull Capital bought a 90% stake in the company, with the remaining 10% passing to Monarch's defined pension scheme.

Greybull also bought the My Local chain of convenience stores from Morrisons, but the business went into administration earlier this year.

It also owns the former Tata Steel plant in Scunthorpe.

Image source, Monarch

A spokesman for Monarch said: "Over the weekend, there has been negative speculation about Monarch's financial health. Our flights are operating as normal, carrying Monarch passengers as scheduled. To weather tougher market conditions and to fund its ongoing growth, Monarch expects to announce a significant investment from its stakeholders in the coming days." 

Monarch Airlines has been forced to deny "negative speculation" that the firm is in financial trouble. 

The budget carrier issued a rebuttal after its Twitter feed was inundated with customers asking if it was "going bust". 

The operator said it was "trading well" and expected to make £40m before tax and other cost deductions by the end of the financial year to October, despite what it said was a "difficult period" for the travel industry following terrorist atrocities, Brexit and the plunging pound. 

Monarch also said it would announce new investment imminently. 

Chris Johnston
Business reporter

Welcome to another week of Business Live with myself and Dan Macadam. Today we'll be looking at why the airline Monarch has been forced to deny widespread rumours that it is facing financial difficulties, and much more.

Do get in touch: bizlivepage@bbc.co.uk or follow me on Twitter: @cajuk, external