--- title: Two European Airline Groups Are Left Bidding for 44.9% of TAP Air Portugal description: Air France-KLM and Deutsche Lufthansa filed the only binding offers for 44.9% of TAP Air Portugal. PARPUBLICA must report to ministers within 30 days. author: Darie Nani (Editor-in-Chief) updated: 2026-07-30T03:29:25.793Z canonical: https://www.sovereignmagazine.com/article/tap-air-portugal-privatisation-two-binding-offers categories: Business content_type: News region: Europe publication: Sovereign Magazine schema_type: Article --- Portugal's sale of a stake in its flag carrier has come down to two bidders. PARPUBLICA, the state holding company running the sale, said on 29 July that it had [received two binding proposals](https://www.parpublica.pt/index.php/tap), from Air France-KLM and Deutsche Lufthansa. It listed the pair in alphabetical order and said nothing about what either had offered. The stake on the market is a minority one. PARPUBLICA is running what it calls a reference sale of 44.9% of TAP's share capital, the third stage of a privatisation set out in tender rules approved by Council of Ministers Resolution 141-B/2025. Air France-KLM describes its own offer as covering a 44.9% to 49.9% stake. ## Ministers Get a Ranked Report Within 30 Days PARPUBLICA must now write a reasoned report describing both proposals in detail, alongside the information steps the tender rules require, and assessing their absolute and relative merit against the selection criteria those rules set out. The report goes to the members of government responsible for finance and for air transport within 30 days. That clock stops if PARPUBLICA asks either bidder to clarify part of its offer, and starts again once the clarifications arrive or the deadline set for them passes. No award has been made. ## TAP's Brazilian Routes Are the Draw Air France-KLM says TAP's strong position on routes to Brazil would complement its own network, which already reaches a dense Brazilian domestic network through a long-standing partnership with the carrier GOL. If it were selected, the group says it would make Lisbon its unique Southern European hub, and TAP would join the commercial network covering Air France, KLM and Transavia. Delta Air Lines, which is both Air France-KLM's joint-venture partner and a shareholder, is aligned with the bid. Ed Bastian, Delta's chief executive, said the proposed investment would enhance trans-Atlantic travel options and Portugal's role as an enhanced business and leisure destination. Should Air France-KLM be confirmed as the successful bidder, Delta says it would begin negotiations with TAP on a commercial agreement covering reciprocal codeshare and loyalty benefits. ## TAP Would Keep Its Brand, Management and Lisbon Hub Air France-KLM says its offer complies fully with the requirements the Portuguese government has set, and that it would keep TAP's management, brand, network and headquarters in Portugal, along with its hub at Lisbon. The plan also covers new maintenance facilities in Portugal alongside TAP Maintenance & Engineering, a partner of more than 20 years. Benjamin Smith, chief executive of Air France-KLM, said his teams had worked with Portuguese stakeholders for three years to prepare the proposal, and framed the bid as part of a commitment to create a European global aviation champion that supports European sovereignty. > "What we have submitted today is not just a proposed price for an airline. It is a strategic, extensive, and comprehensive long-term plan for TAP and for Portugal as a whole." > — Benjamin Smith, Chief Executive, Air France-KLM Air France-KLM carried 103 million passengers in 2025 with a fleet of over 580 aircraft, posting revenue of €33 billion and employing 80,000 people worldwide. It is a founding member of the SkyTeam alliance, which has 19 member airlines. Air France and KLM have flown to Portugal since 1940 and now serve Lisbon, Porto, Faro, Funchal and Ponta Delgada. With Transavia the group operates up to 346 weekly flights across 29 Portuguese routes this summer, having lifted its capacity in the country by 44% since 2019 and by a further 11% for the 2026 summer season. A KLM DC-3 opened commercial service at Lisbon's Portela Airport in 1942. ## FAQ **Q: Who wants to buy TAP Air Portugal?** Air France-KLM and Deutsche Lufthansa each submitted a binding proposal. PARPUBLICA named both when it announced on 29 July that it had received two offers, and gave no detail on either. **Q: Who owns TAP Air Portugal?** PARPUBLICA, the Portuguese state holding company, owns the 44.9% stake now being sold and is running the privatisation on the government's behalf. **Q: What happens next in the TAP privatisation?** PARPUBLICA has 30 days to give the ministers responsible for finance and air transport a reasoned report assessing both proposals against the tender's selection criteria. That period is suspended if it asks either bidder for clarifications.