Lufthansa has been selected to acquire a 44.9% stake in TAP Air Portugal in a deal valued at €1.2 billion, the Portuguese government announced on Wednesday. The German airline outbid Air France-KLM, the only other bidder, according to Prime Minister Luís Montenegro.
The government will reserve 5% of the airline’s shares for its more than 9,000 employees, while the state will remain the majority shareholder. The transaction is subject to approval by European Union regulators, with the government aiming to complete TAP’s privatisation by 2028.
TAP carried 16.7 million passengers in 2025. Its fleet of more than 90 aircraft serves over 90 destinations, including 52 in Europe, 16 in Central and South America, 14 in Africa and 11 in North America. Its routes to Brazil are considered particularly valuable.
The airline reported a net profit of €4.1 million in 2025, according to its published accounts. Two previous privatisation attempts, in 1998 and 2015, failed, with the Portuguese state subsequently regaining ownership.
Source: abc news
