President Marcelo Raises Concerns Over TAP Privatization Decree - Key Questions to the Government

President Marcelo Rebelo de Sousa has raised several questions regarding the privatization decree of TAP, Portugal's flagship airline. The concerns were initially reported by RTP and later confirmed by Observador. The President's doubts revolve around certain clauses in the decree that outlines the sale of 49.9% of the company.

Among the issues highlighted are potential operations involving TAP's real estate assets, specifically the facilities at Lisbon's current airport, which the government intends to exclude from the privatization. Additionally, there are questions about capital structure changes during the bidding process and the bankruptcy of the former TAP SGPS (now renamed Siavilo), declared earlier this week following a request from TAP itself.

This 'bad TAP', stripped of assets, is left with a debt of 178 million euros claimed by the Brazilian company Azul, a liability the government acknowledges could impact the offers for the airline.

Marcelo had previously expressed his intention to enact the privatization decree approved by the current government, provided it addressed the concerns that led him to veto a similar decree by the previous administration in 2023. He emphasized the importance of maintaining Portuguese and state predominance, given the minority stake offered to foreign entities, contrasting with the 2023 proposal to sell up to 100% of TAP's capital.

Despite the decree's approval nearly a month ago, it only reached the Presidency this week, prompting the current round of questions to the government. The Infrastructure Minister, Miguel Pinto Luz, mentioned last week that the bidding terms might be published soon, possibly within this week, pending the President's promulgation of the decree.

The Observador reached out to the Ministries of Finance and Infrastructure, as well as the Presidency, for further clarification but received no additional details.