Portugal seeks faster EU review for TAP sale

Portugal’s government has asked Brussels for a faster review of Lufthansa’s planned purchase of 49.9% of TAP, as the airline privatisation moves into what is expected to be its hardest phase. The deal, although politically approved, is not expected to close before early or mid-2028.

After Lufthansa’s €1.201 billion offer was approved, the government still needs to complete the contractual stage in Lisbon. The Council of Ministers must approve the documents prepared by Parpública, including the share purchase agreement and the shareholder agreement governing management powers. The documents are expected to be signed by year-end, after which the case will go to regulators including the European Commission’s competition arm and Portugal’s civil aviation regulator ANAC.

ECO has learned that the contract with Lufthansa allows the sale to fall through if the European Commission demands remedies that make the transaction unworkable for the German group. Infrastructure Minister Miguel Pinto Luz said the government would monitor that process together with Lufthansa, while the executive has already been in contact with European Transport Commissioner Apostolos Tzitzikostas to press for a quicker review. Finance Minister Joaquim Miranda Sarmento has said the Brussels phase could take 18 to 24 months.

The second phase of the privatisation is also already being prepared. Lufthansa has offered €1.351 billion for the remaining 50.1% of TAP, including a 5% stake in the German group valued at almost €500 million, but that stage will require broader political backing in Portugal. Pinto Luz said Prime Minister Luís Montenegro will lead that effort and seek the consensus needed for a sustainable solution.

Originally published at Eco.pt