Portugal Keeps TAP Control, Lufthansa Gets Daily Management
State retains board majority while German carrier takes operational reins in 44.9% stake deal worth €1.2 billion.
KEY POINTS
- State keeps 50.1% stake and board majority (5 of 9 seats)
- Lufthansa acquires 44.9% for €1.201 billion in all-cash deal
- German carrier gets three executive directors for daily management
- Strategic decisions require consensus; hub and brand protected
- Fleet to grow to 117 planes by 2035, 130 after new Lisbon airport
Portugal will keep a majority on TAP's nine-member board, appointing five directors including the chair, while Lufthansa names three executive directors to run daily operations. Infrastructure Minister Miguel Pinto Luz confirmed the state retains control of the airline after the Council of Ministers selected Lufthansa for the partial privatisation.
The government will sell at least 44.9% of TAP to Lufthansa in a transaction valued at €1.201 billion, including a 5% tranche reserved for employees. Lufthansa's all-cash offer was 16% higher than rival Air France-KLM's bid, which the cabinet cited as decisive.
“Clearly the control of the company remains with the Portuguese State”
Strategic decisions on fleet, finances and overall strategy require consensus between the two shareholders, preventing either side from acting unilaterally. A second safeguard at the general meeting protects the hub, brand and headquarters location.
Lufthansa has committed to growing TAP's fleet to 117 aircraft by 2035 and to 130 after Lisbon's new airport opens, integrating the Portuguese carrier into Europe's largest airline group by revenue.
2 more sources below
COMMENTS (0)
No comments yet. Be the first.
RELATED STORIES
Panathinaikos beats Partizan 72-55 for 5-0 EuroLeague start
Zeljko Obradovic returns to Belgrade and secures first road win as Panathinaikos stays perfect in EuroLeague.
US inflation climbs to 3.7% as fuel costs surge before midterms
Consumer prices rose faster than expected in September, driven by gasoline and energy costs linked to the Iran war.
Russia Targets US Brands in Ukraine; Trump Administration Silent
Russian drones and missiles have hit Coca-Cola, PepsiCo, McDonald's and Oreo facilities while the White House has not responded.
- Greece raises heating allowance 30% and cuts fuel prices for winter
- Iran shifts tactics against ships in Hormuz to pressure oil prices before US vote
- Brazil Senate to vote on ending 6x1 work week Wednesday
- Police Raid Halk TV Headquarters, Broadcaster Taken Off Air
- Amazon in Talks to Buy AI Startup Decart for $7 Billion
This page was compiled with AI assistance from the outlets named above and passed an automated language check before publication. Montegre has no reporters of its own; the byline names the outlets the story was compiled from. Method and editorial standards