Air France-KLM and Lufthansa submit final TAP bids

Air France-KLM and Lufthansa have submitted improved binding bids to buy up to 49.9% of TAP, in the final stage of Portugal’s airline privatisation process, ECOnews has reported. The decision matters for investors and the aviation sector because the government plans to choose a winner by mid-October.

State holding company Parpública said it had received the revised offers from Air France-KLM S.A. and Deutsche Lufthansa AG after a three-week negotiating phase launched earlier this month. It will now prepare a report assessing the improvements and send it to the ministers responsible for finance and air transport.

The government has set a deadline of up to 15 days after receiving the final improved bids to inform the two groups of its decision, pointing to an outcome by October 15. According to the material provided, the selected bidder will then be invited to a final round of negotiations.

The sale covers 49.9% of TAP, with 5% preferably reserved for employees. The winning group will still need regulatory approvals, including from the European Commission, meaning the transaction is expected to be completed only in 2027. Only after Brussels clears the deal will the state receive payment and transfer the shares to TAP’s new partner.

Originally published at Eco.pt