Key facts
- Lufthansa and Air France-KLM submitted binding offers for a 44.5% stake in TAP Air Portugal.
- The Portuguese government will analyze the bids, which include industrial and strategic plans.
- Parpública, managing state shareholdings, received the proposals.
- The state will retain majority control of TAP, holding 50.1% after the sale.
- International Airlines Group (IAG) withdrew from the process.
Lufthansa and Air France-KLM have submitted binding offers for a 44.5% stake in Portugal's TAP Air Portugal, marking a significant step in the airline's privatization process. Parpública, the state holding company, confirmed receipt of the proposals, which include specific financial terms and industrial plans aimed at ensuring TAP's sustainability.
The Portuguese government, through Parpública, will now analyze these bids over the next 30 days, with the possibility of requesting further clarifications. The state intends to retain a majority 50.1% stake in TAP, with up to 5% reserved for employees, meaning the selected investor will be a minority shareholder with substantial management influence.
International Airlines Group (IAG), owner of Iberia, had previously withdrawn from the process, leaving Lufthansa and Air France-KLM as the sole contenders. The binding offers detail proposed weekly flight operations, route networks, and investment plans, with Air France-KLM positioning Lisbon as a Southern European hub and Lufthansa emphasizing continuity and scale.
Infrastructure Minister Miguel Pinto Luz has expressed a desire for the process to conclude by September, with the potential for the chosen investor to begin sharing management responsibilities as early as 2026, although capital injection is expected in summer 2027.