Lufthansa and IAG formalize interest in TAP Air Portugal stake as deadline looms

As the deadline approaches, Lufthansa Group and International Airlines Group (IAG) have officially entered the fray potentially to purchase a minority stake in TAP Air Portugal.  

On November 21, 2025, both Lufthansa and IAG announced that they had formally expressed their interest in participating as a bidder in the privatization process for TAP Air Portugal. 

The rival Air France-KLM Group also formally expressed its intent to bid for a minority stake earlier in the week.  

All offers have to be submitted by 16:59 on November 22, 2025, to be considered further in the bidding process. 

Portugal’s leader, President Marcelo Rebelo de Sousa, approved a government decree in August 2025 that cleared the way for the long-awaited privatization of the country’s national airline. 

Kevin Hackert / Shutterstock.comThrough the proposed privatization process, the government is aiming to sell a non-controlling stake of 49.9% in the carrier.    

According to Lufthansa, which also owns SWISS, Brussels Airways and ITA Airways, it is looking to “establish a long-term partnership with TAP Air Portugal in order to secure the successful future of Portugal’s national airline”. 

Lufthansa Group highlighted that its airlines currently offer more than 280 weekly flights to and from Portugal and employ over 400 skilled workers in the country.   

Carsten Spohr, CEO of Deutsche Lufthansa AG, said: “The Lufthansa Group welcomes the Portuguese government’s privatization process. Our goal is to strengthen Portugal’s global connectivity, preserve TAP’s Portuguese identity, and ensure the airline’s sustainable growth. TAP Air Portugal is of great strategic importance to the European aviation industry.”  

He added: “As a long-standing partner in the 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.” 

Ryan Fletcher / ShutterstockIAG, which owns British Airways, Iberia and Aer Lingus, confirmed that a letter of interest had been sent to TAP Air Portugal owner, Parpública. 

IAG said that, despite its interest, “several terms would need to be addressed before IAG could propose an investment”. 

A spokesperson for IAG added: “We believe TAP has significant potential within IAG. Our proven, decentralised model delivers industry leading margins and aligns with the Portuguese government’s ambition to protect TAP. Our track record shows how we invest to strengthen our airlines, benefiting customers, employees, local economies and shareholders.”  

The Portuguese government is privatizing TAP in order to recover €3.2 billion in state aid it provided to the carrier to keep it afloat during the COVID-19 crisis. The process is expected to be concluded by early 2026. 

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