Group already owning eight airlines holds meeting for Portuguese journalists in Dublin
The IAG airline group – owners of British Airways, Ibéria, Vueling and Aer Lingus, among others – has taken another public stand today to show its interest in Portugal’s flagship carrier, TAP.
In a meeting with Portuguese journalists in Dublin, IAG director Jonathan Sullivan stressed that “over time, we would like to have a path towards a majority (position)” but everything, ultimately, depends on the conditions imposed by the state, which (and he did not say this) is ‘taking its time’… Sullivan put the situation more diplomatically: “We’re waiting for the Portuguese government’s time. We’re waiting patiently. Let’s let the government do what it has to do. This is very important for Portugal. There is no time pressure to sell this business. And that’s good, because the government can be careful and ensure what’s best for Portugal.”
IAG’s interest in TAP is nothing new – just as the interest shown by other groups, namely Lufthansa and Air France/ KLM is also well declared. It is just that, clearly, the time for decision making is approaching.
As reports explain, “the government recently met with those interested in buying (TAP) as part of the reprivatisation process prepared by the previous Socialist government” which had wanted to complete it by 2024. All of them have extolled the plus points of adding TAP to their brand – the ‘Lisbon hub; the connectivity with Latin America and the US’ etc etc – but the decision will not solely depend on the current government. Expresso explains the executive “wants to reach an agreement with the PS (Socialists – the main party in opposition party in parliament) and Pedro Nuno Santos (the PS leader) is more in favour of selling a minority stake” (see update below).
There is also the question of the ‘last minute’ plans put up by Portuguese businessman Paulo Pereira, in cahoots with ex-Stellantis CEO Carlos Tavares.
Thus, for the moment, today’s story is possibly just more ‘noise’; indication that although groups say “let the government take their time”, they are probably getting edgy and want a decision one way or the other.
Lufthansa, for example, recently invested heavily in a factory in Santa Maria da Feira creating 700 jobs. Could this have any bearing on their interest in TAP? We have not been told.
Suffice it to say, Portuguese journalists reporting on CEO Sullivan’s thoughts and ambitions for a TAP under the IAG umbrella will have all flown to Dublin “on invitation from IAG”.
UPDATE: Aviation expert Joe Gill was also available to speak to Portuguese journalists in Dublin, and he was fairly no-nonsense when it came to the idea of the government only selling a minority stake in the airline. According to Lusa’s report, he “did not take kindly” to the prospect: “They could interfere in decisions that aren’t good for the airline”
