Government begins process of reprivatizing 49.9% of TAP

"We approved a decree-law in which we fulfill a constant point in our electoral and government program, which is the reprivatization of 49.9% of TAP 's share capital," Montenegro stressed, saying that this is the "kick-off" of this first phase of reprivatization.

Luís Montenegro made a statement to journalists at the official residence in São Bento, in the middle of the Council of Ministers meeting, without the right to questions.

In this process, the executive intends to sell up to 49.9% of the airline's capital through the direct sales model, reserving up to 5% for workers, as provided for in the privatization law.

This is the first step towards starting the sale of TAP, which will once again have private shareholders after the government moved towards nationalization in 2020 due to the impact of the pandemic on air transport.

The decree-law will also have to be approved by the President of the Republic, who, in October 2023, vetoed the document drawn up by António Costa's government to begin the privatization of TAP.

At the time, Marcelo Rebelo de Sousa decided to return the diploma, approved by the Council of Ministers on September 28 of that year, considering that it "raised multiple doubts and reservations in light of the desired maximum transparency of the process."

The reprivatization of the airline has been on the table since 2023, but was halted with the fall of the last two PS and PSD governments.

Photo: Luis Montenegro.