Air France-KLM has expressed interest in participating in the privatization of Portugal’s national airline, TAP. The airline is open to various options, including acquiring a minority stake, as the Portuguese government finalizes its plans for the sale amid political considerations.
The Portuguese government, led by Prime Minister Luis Montenegro, is in the process of finalizing consultations with potential suitors for TAP. This includes major players like Lufthansa and International Airlines Group (IAG), the parent company of British Airways. Montenegro, who previously advocated for a complete privatization, has recently suggested that a partial sale could be on the table.
The privatization of TAP is a significant move for the Portuguese government, which has been under pressure to reduce its stake in the airline. The plan must be approved by the Portuguese parliament, where the main opposition party, the Socialists, has pledged to oppose any sale of a majority stake.
TAP’s most valuable assets lie in its extensive network connecting Portugal to Brazil, Portuguese-speaking African nations, and the United States. These routes are particularly attractive to potential investors looking to capitalize on the growing demand for international travel. The airline’s Lisbon hub serves as a critical gateway for transatlantic flights, making it a strategic asset in the European aviation market.