The government has decided not to include a 5% discount on stock purchases by TAP employees in the airline’s privatization process, differing from previous operations. This action aims to safeguard the 3.2 billion euros invested by taxpayers in the company.
“The government believes that workers, if they wish, should have a voice in the TAP shareholders’ general meeting,” the Ministry of Infrastructure stated to Lusa.
“However, taxpayers have invested 3.2 billion euros in TAP to secure its recovery after the COVID-19 pandemic, so this workers’ right must be balanced with the taxpayers’ right to maximize financial returns to the public sphere,” it added.
In previous privatization processes, employees were able to purchase shares at a 5% discount, which is not included in the current terms.
The document, released on Monday evening in the Official Gazette, allows for up to 5% of the share capital to be acquired by employees, but without any preferential acquisition terms. Any shares not subscribed will be acquired by the private investor taking up the shareholder position in the company.
The terms of reference mark the starting point for TAP’s privatization process, expected to conclude within a year at most, and include the direct sale of 44.9% of the company’s share capital. New provisions include a ban on the buyer selling the stake for five years following the transaction.
The document also stipulates that only airlines with revenues exceeding 5 billion euros in at least one of the last three years and meeting criteria of integrity and financial capability can apply for the privatization process.
When evaluating proposals, factors such as fleet expansion, investment in maintenance and engineering, commitment to sustainable fuels, adherence to labor agreements, and the potential to strengthen the shareholder position in TAP are considered.
The stages of the process include expressing interest by November 22, followed by the submission of non-binding proposals, and later, binding proposals.
Air France-KLM, Lufthansa, and the International Airlines Group (IAG), owner of British Airways and Iberia, have expressed public interest in participating, and the government has indicated that more parties are interested, although without providing additional details.
