Air France-KLM is prepared to give Portugal an equity stake in the group as part of its bid for TAP Air Portugal, in a move designed to sharpen its position against Lufthansa in the race for the Portuguese carrier. The proposal comes as Lisbon continues talks with both airline groups over the sale of a minority stake in TAP, with the government seeking improved offers before choosing a preferred partner.
Portugal wants to sell up to 49.9% of TAP, including as much as 44.9% for a strategic investor and up to 5% for employees. The two bids are understood to be close in value, prompting a fresh round of negotiations aimed at securing better terms. A decision had been expected within weeks of the latest report.
For Portugal, the structure could preserve some influence inside a larger European airline group even after a partial sale of TAP. For Air France-KLM, the option would add a differentiating element in a competitive privatisation process as the group pursues wider expansion. It is also expected to take control of SAS later in 2026, underlining its broader consolidation strategy.