The Portuguese government is opening negotiations with Air France-KLM and Lufthansa to secure improved bids for a 44.5% stake in TAP Air Portugal.
Key facts
- •The government is negotiating with Air France-KLM and Lufthansa to acquire a 44.5% stake in TAP Air Portugal.
- •Binding offers were submitted by both groups on July 29.
- •Parpública submitted its assessment report to the government on September 1.
- •The state plans to retain a majority stake in the airline, with 5% of shares set aside for employees.
- •The chosen investor could begin joint management in 2026, with capital injection expected by summer 2027.
The Portuguese government has announced it will open formal talks with Air France-KLM and Lufthansa regarding the privatisation of TAP Air Portugal. Minister of the Presidency António Leitão Amaro stated that both groups, which submitted binding offers in late July, provided valuations that were close enough to warrant further negotiation. The government aims to secure improved proposals from the contenders before selecting a single bidder for final negotiations.
By the numbers
Bidding and Evaluation Process
Air France-KLM and Lufthansa submitted their binding offers on July 29, the final day of the deadline. Parpública, the state holding company, spent 30 days evaluating the documentation before delivering its report to the government on September 1. The current process, which seeks to sell up to 49.9% of the airline, was narrowed to these two groups following the withdrawal of the International Airlines Group (IAG).
Future Management and Ownership
Under the government's decree-law, the state will retain a majority shareholding in the airline, with 5% of the shares reserved for employees. Infrastructure Minister Miguel Pinto Luz indicated that the successful investor could begin joint management of the carrier as early as 2026. However, the actual capital injection is not anticipated until the summer of 2027.
Timeline
- July 29Air France-KLM and Lufthansa submitted binding offers for TAP Air Portugal.
- September 1Parpública delivered its evaluation report on the bids to the government.
- 2026The chosen investor could potentially begin joint management of the airline.
- Summer 2027The actual capital injection from the investor is expected to take place.
Advertisement
This article was independently rewritten by ManyPress editorial AI from reporting originally published by Euronews Business.
