TAP privatisation goes ahead with French and Germans in the running

The German airline Lufthansa, French airline Air France and Dutch airline KLM are tipped to be the favourites to snap up Portuguese national carrier TAP.

The Portuguese government aims to privatise the company this year, after a major restructuring over the past two years which saw the shedding of 1,200 staff and a capital injection from the state of €1,794 last year and in 2020.
According to a report by Expresso, IAG led by British Airways and Iberia have also shown interest, but have been ruled out since they would threaten Lisbon’s hub position for Latin America (Brazil) and Portuguese speaking Africa.
The government has been in discreet talks with some regularity with financial advisors and the candidate companies over the past months.
The main strategy would be to privatise at least half of TAP, but some figures within the Portuguese government are said to be pondering a percentage close to 100%.
The decision has yet to be taken, but various scenarios are being studied by the Minister of Infrastructures, Pedro Nuno Santos.