German airline giant Lufthansa has submitted its expression of interest for Portuguese airline TAP. Air France-KLM and IAG have also or may submit an expression of interest for TAP.

This is reported by Bloomberg News after competitor Air France-KLM expressed its interest in the Portuguese airline on Wednesday. Bloomberg reported at the time that the other two major airline groups, Lufthansa and IAG, were also ready to submit their own expressions of interest.

In addition to initially acquiring a minority stake, Lufthansa's goal is to establish a long-term partnership with TAP and strengthen Lisbon's position as an Atlantic hub in its network, the company said in a statement on Thursday.

The Portuguese government plans to sell a 49.9 percent stake in TAP, of which 5 percent will initially be reserved for TAP employees.

”As a long-standing partner in Star Alliance and with our extensive investments in Portugal, we continue to see the Lufthansa Group as the best partner for TAP and for Portugal,” Lufthansa CEO Carsten Spohr said in a statement. 

The Portuguese airline stands out among a few state-owned airlines still available for sale in Europe, a region now dominated by the big three groups.

TAP's appeal lies in its routes to Brazil, solid presence in Africa and connections to North America. The company carried 16 million passengers in 2024, an increase of 1.6 percent from the previous year, and has been profitable since 2022, writes Bloomberg.

Bernstein analyst Alex Irving wrote in a comment on Tuesday that the news agency has seen that he sees IAG as the most likely buyer because the group has a smaller position on routes between Europe and Brazil and is the only one of the three groups that is not currently busy integrating an airline.

Source: Dagens Industri