Race for TAP: Airlines Line Up to Bolster Portugal's Skies

In a significant move for Portugal's aviation sector, Prime Minister Luis Montenegro emphasized the country's intent to enhance its national carrier, TAP, beyond its mainstay Lisbon hub. British Airways owner IAG, Air France-KLM, and Lufthansa have shown interest in acquiring a 44.9% stake in TAP, submitting their preliminary plans.

Montenegro stated that any bidder intending to acquire the stake must also commit to strengthening TAP's operations across Portugal's other airports, such as those in Porto, Faro, and the Azores and Madeira archipelagos. This demand aims to fully utilize the nation's airport capacity and improve travel connections.

The potential bidders are expected to submit non-binding offers by April 2, including a price proposal and a strategic plan. The government values the 44.9% stake at about 700 million euros, with the privatisation process anticipated to conclude by the latter half of 2026.