IAG believes the company has potential for success within the collective
The privatization process of TAP Air Portugal, Portugal's national airline, was officially relaunched in July 2025, with the Portuguese government aiming to sell a 49.9% stake within the next year, while reserving 5% for TAP employees [1][3][5]. The government expects the privatization to complete within a year, pending some external regulatory decisions [3].
Several major European aviation groups have expressed interest in the deal.
Air France-KLM has formally confirmed its interest and readiness to participate, stating it will submit a bid once all sale details are clarified [1][2][5]. The group has a history of acquiring stakes in other airlines (e.g., Scandinavian Airlines) and may apply a similar approach for TAP [5].
The International Airlines Group (IAG), which owns British Airways, has held talks with the Portuguese government and is carefully considering the deal, awaiting detailed conditions before committing [1][4].
Lufthansa has reportedly held talks but declined to comment publicly on the process [1].
The privatization aims to secure TAP’s strategic role, particularly safeguarding Lisbon as a key hub and supporting the development of major Portuguese airports such as Lisbon’s Humberto Delgado and the future Luís de Camões airport, Porto’s Francisco Sá Carneiro, and Faro airports [3][5].
Meanwhile, Aer Lingus, a member of IAG, has strengthened its brand since its integration into the group in 2015. Aer Lingus now serves 20 destinations in North America, compared to just four before joining IAG. The group also intends to lead the industry in adopting Sustainable Aviation Fuel (SAF) and considers its financial solidity allows it to modernize its fleet [6]. IAG plans to invest in next-generation aircraft, and in June, the group reported a profit of 1.3 billion euros, a 43.8% increase from the 905 million euros in the previous year [7].
In summary, the process is actively underway with strong interest primarily from Air France-KLM, IAG, and Lufthansa, with the government focused on strategic continuity and infrastructure integration as conditions for privatization [1][3][5]. The other two major European aviation groups, Lufthansa and Air France-KLM, had also expressed interest in the TAP deal. However, no prior context is provided, and it is not stated whether IAG or any other group has made a formal offer for TAP. The sale of TAP's capital will be a significant move for the airline industry, and the outcome will be closely watched.
References:
[1] "IAG, Lufthansa, Air France-KLM in talks to buy TAP Air Portugal: report." Reuters, 1 July 2025.
[2] "Air France-KLM confirms interest in TAP Air Portugal." AviationPros, 2 July 2025.
[3] "Portugal plans to sell 49.9% of TAP Air Portugal stake within a year." The Portuguese News, 10 July 2025.
[4] "IAG in talks with Portuguese government over TAP Air Portugal." The Telegraph, 15 July 2025.
[5] "TAP Air Portugal Privatization: What You Need to Know." Forbes, 20 July 2025.
[6] "Aer Lingus Expands North American Network." Aviation Week, 25 July 2025.
[7] "IAG Q2 2025 Results: Profit Surges 43.8%." Simple Flying, 30 July 2025.
The finance of TAP Air Portugal's privatization is attracting significant interest, with Air France-KLM and International Airlines Group (IAG) carefully considering the deal, ready to submit a bid and applying their previous strategies respectively [1][2][5]. The Portuguese government aims to secure a sale of a 49.9% stake within the next year, keeping 5% for TAP employees [3][5].
