Lisbon is keeping both suitors at the table because their bids are very close in overall valuation. Presidency Minister António Leitão Amaro said the proposals are similar enough, even if structured differently, to warrant one more round with each side. Before the government picks a single top contender to move into the closing stage, each side will get another chance to sweeten its bid. As he put it, "The price is an important aspect but it's not the only one."
Air France-KLM said it has "unaltered interest in TAP" and that it "looks forward to the next phase of the process." Lufthansa said it looks "forward to continuing the process constructively in the coming weeks."
Parpública, the state holding company, handed the government its analysis earlier this week after both bidders submitted binding offers on July 29.
When major decisions are underway, steady investing still matters, so grab the free Always Be Buying E-Book
TAP posted a €99 million loss in the first half, as higher fuel costs pressured results, and received state support amounting to billions of euros over the pandemic. In May, CEO Luís Rodrigues said the airline needs a strategic partner to steer through growing market uncertainty. The asset is attractive to both groups because of TAP's long reach linking Europe with Brazil, Latin America and Africa, which would bolster either buyer's position in southern Europe. For anyone watching European airline stocks, note that the government is weighing more than just headline price and says the timeline is measured in weeks, not months.
