Latest news and stories about privatization in Portugal for expats and residents.
With the Lufthansa proposal to buy 49.9% of TAP for 1,201 million euros approved, the process still has a long and rocky road ahead until its conclusion, expected in early 2028. The most difficult obstacle will be the DG-Comp, but the Government, which will count on the collaboration of the Germans, has...
The government has decided to enter individual negotiations with Lufthansa and Air France-KLM to finalize the sale of 44.9% of the national flag carrier, TAP. Minister of the Presidency António Leitão Amaro stated that while the two proposals differ, their overall value is similar, necessitating an additional round of talks to secure improved offers.
António Leitão Amaro is Portugal's Minister of the Presidency (Ministro da Presidência) in the government led by Luís Montenegro. He is a key figure in the Social Democratic Party (Partido Social Democrata or PSD) and often is the government's spokesperson. Those following housing and rental policy should note his role in announcing the June 2024 measures regarding evictions and inheritances.
Minister of Infrastructure and Housing Miguel Pinto Luz confirmed that the government is ready to proceed with the privatization of the national airline, TAP, even if only one binding proposal is received. The government is currently awaiting a report from the public holding company Parpública regarding the non-binding offers submitted by Lufthansa and Air France-KLM.
Miguel Pinto Luz is Portugal’s Minister of Infrastructure and Housing and a senior figure in the PSD. His portfolio covers roads, rail (including the Lisbon–Porto high-speed line), airports and housing policy. Before joining the government he was deputy mayor of Cascais.
Parpública is a state-owned holding company (Parpública - Participações Públicas, SGPS, S.A.) that manages the Portuguese government's equity interests in various companies. It acts as the state's vehicle for handling privatization processes, such as the ongoing sale of a stake in the national airline, TAP Air Portugal.
Castlelake's increased bid for EasyJet could significantly impact the European aviation market and influence the ongoing privatisation process of TAP Air Portugal.
As the deadline for non-binding bids for TAP's privatisation arrives, major European airline groups face a shifting economic landscape, with Lufthansa confirming its continued interest despite broader sector challenges.
Lufthansa confirms its intent to submit a proposal for the privatisation of TAP, aiming to expand the Lisbon hub and develop Porto as a secondary hub while seeking eventual management control.
Signatories advocate for an integrated public company managing the infrastructure. The accident in Toledo, which resulted in 68 deaths, added extra weight to the argument against separating operation from track management.
Agostinho Miranda, lawyer and president of ProPública, classifies the terms of the merger between Galp and Moeve as a “disaster”. He also considers the privatizations of EDP and REN carried out by Passos Coelho to be an “error”.
The request from Chega was approved by the Infrastructure Committee. The date for Miguel Pinto Luz's hearing is yet to be set.
An analysis of the implications of privatising TAP Air Portugal, arguing that the government's decision to sell control to Lufthansa prioritises short-term financial gain over long-term strategic interests. The text questions the wisdom of relinquishing state control after significant public investment, highlighting the risks of private interests diverging from national needs and the potential loss of influence over essential air routes and economic autonomy.
On “Global”, Paulo Portas accused Donald Trump of favouring Vladimir Putin without receiving anything in return and warned of the distrust he is creating among NATO allies. The commentator linked the White House's decisions to the fuel crisis and the US elections. He also praised the privatisation of TAP, which he considers to have been “well done”.
Miguel Frasquilho, former president of TAP, speaks of a very positive process with advantages for everyone: Lufthansa, TAP, and the State. The decision depends on Brussels, but a 'no' is not guaranteed here.
The Government announced on Wednesday the selection of Lufthansa for the partial privatisation of TAP, with a proposal of 1.201 billion euros for up to 49.9% of the capital, including the 5% portion reserved for workers and the planned financial adjustments.
The Government expects to launch the public offering (IPO) of the 5% stake in TAP reserved for employees in early January, following the airline's privatisation process. In an interview, Minister of Infrastructure and Housing Miguel Pinto Luz confirmed that the decree-law for the sale of up to 49.9% of the airline's capital is to be signed by the end of the year. While the government encourages employee participation, Lufthansa has committed to acquiring any remaining shares if workers do not take up the offer. The minister also noted that potential competition concerns from the European Commission regarding Lufthansa's entry have been factored into the German group's proposal.
The sale of half of the airline brings with it the promise of a new runway. Furthermore, the accumulation of waste on the streets is being used as a pretext to point the finger at the Volta system.
Carneiro avoids committing to a second phase of privatisation, but the party's new wording is less restrictive than before. The issue is causing internal resistance. Pedro Nuno Santos is against it.
Pedro Santos Guerreiro, executive director of CNN Portugal, analysed on Central CNN the main issues surrounding the sale of part of TAP to Lufthansa and the statements made by Pedro Nuno Santos to CNN Portugal on the subject.
Lufthansa is required to pay a deposit of up to 30 million euros for the acquisition of TAP, following a resolution published this Friday in the Diário da República, which formalizes the German group's selection for the partial privatization of the Portuguese airline. The document also stipulates that the German group must provide a bank guarantee to secure the remaining payment, with the Government responsible for setting the deadlines. The deposit amount follows a July directive setting the initial payment at 2.5% of the offered value for the shares, under the 5% maximum limit. Given the reference price of 1.025 billion euros for 44.9% of TAP's capital, the deposit will be approximately 25.6 million euros, potentially reaching 30 million euros when considering the total proposal of 1.201 billion euros. The government expects the deal to be finalized by the end of this year, with the overall operation slated for completion by early 2028.
MEP spoke about the possibility of imposing new restrictions on activity and size.
A resolution published in the Diário da República formalises the selection of the German group for the partial privatisation of the Portuguese airline.
Lufthansa will have to make an initial payment of 2.5% of the amount offered for TAP to the State this year, in addition to providing bank guarantees. This determination is included in the Council of Ministers' Resolution that selects the German group to acquire up to 49.9% of the airline. The tender specifications for the privatisation stipulated...
The privatization of TAP should be total: holding 5% of an aviation colossus is much more attractive than keeping 51% of TAP.
Air France-KLM also submitted a proposal to purchase TAP, but the German group's financial offer was superior and presented less uncertainty.
On Wednesday, the Government admitted the full privatisation of TAP by 2028.
Sitava stated that it had communicated this position to the two candidates who reached the final phase, Lufthansa and Air France-KLM.
The Minister of Infrastructure believes that the privatisation of TAP, in which Lufthansa emerged victorious, is immune to potential changes in government, and argues that reversing it is unlikely. In an interview with Expresso, he maintains that the Milan hub does not threaten Lisbon.
