Synergy owner Gérman Efromovich has met with the Brazilian government to get support for a proposed second bid, this time by Avianca Brasil, according to aeroTELEGRAPH and Folha de São Paulo.
This was already denied. I believe it will take some time until a new process of privatization is set up.
A non-EU citizen or company can not buy more than 49% in a European airline. The owner of Synergy has Polish roots and tried to buy TAP with that background. But it failed.
I don't know how he will try to do it this time, but as far as I know a Brazil airline is not allowed to take more than 49% in a EU airline either. Maybe they have some kind of (financial) construction in Europe which enables them to buy TAP, but I'm not sure.
TAP Portugal has received two bids to purchase a stake in the airline, one from Synergy Group (Brazil) owner German Efromovich, and the other from Azul (Brazil) owner David Neeleman. A community of language?
I don't see why the LH group management is not interested in aquiring this promising little airline at the outskirts of Europe. A mixture of LH and AV or Azul could work fine IMHO ...
TAP Portugal: Government sells 61% to David Neeleman (Azul)
The Portuguese government announced today (Thursday 11 June) that it had selected Brazilian businessman David Neeleman, founder of Brazilian airline Azul, for the privatisation of 61% of the national airline TAP Portugal.
Translated highlights:
The winning bid is officially awarded to the consortium "Gateway", run by Mr Neeleman, but co-owned by Humberto Pedrosa, a Portuguese businessman.
Their minimum bid for TAP was €354M, possibly increasing to €488M in fuction of the results of this year.
5% of the shares made available through this same will go to the employees of TAP.
TAP Air Portugal's new owners (David Neeleman and his Gateway consortium) said this Wednesday (24 June) they intend to expand operations to 10 more U.S. destinations and eight more in Brazil, while bringing more passengers from those countries into Europe.
Portuguese anti-trust regulator Autoridade da Concorrência (AdC) has given the green light for the Atlantic Gateway consortium to acquire a 61% stake in TAP Portugal.
The clearance takes the Atlantic Gateway consortium, a joint venture (JV) between JetBlue Airways and Azul Brazilian Airlines founder David Neeleman and Portuguese bus company Barranquiro Group, a step closer to finalizing its acquisition of TAP Portugal.
The competition body was notified of the transaction on Aug. 20, after the European Commission considered it was “outside its jurisdiction” under European merger control rules.
A TAP Portugal spokeswoman said the deal now hangs on approval by Portuguese civil aviation authority ANAC.
Press Release 05/2015 - ANAC approves recommendations for shaping the change in the shareholder structure of the air carrier TAP, SA and Portugalia, SA
10.13.2015
ANAC approves recommendations for shaping the change in the shareholder structure of the airlines TAP and Portugalia SA, SA with the provisions of Regulation (EC) No 1008/2008 of the European Parliament and of the Council of 24 September 2008
By resolution of the Board of the National Authority Civil Aviation Administration of October 12, 2015, it was approved under what are described below, the previous opinions on the assessment of compliance with the provisions of Regulation (EC) No 1008 / 2008 of the European Parliament and of the Council of 24 September 2008 for the purpose of operating license of maintenance company Transportes Aéreos Portugueses, SA and Portugalia - Companhia Portuguesa de Transportes Aéreos, SA, in connection with the acquisition by society Atlantic Gateway, SGPS, SA of a majority stake in TAP - Transportes Aéreos Portugueses, SGPS, SA
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TAP society - Transportes Aéreos Portugueses, SGPS, SA (parent company of the airlines TAP, SA and PGA SA) notified the Civil Aviation Authority of the acquisition of shares representing 61% of its share capital and the respective rights vote for the Atlantic Gateway group within the meaning and for the purposes of Article 8 of Regulation (EC) No 1008/2008 of the European Parliament and of the Council of 24 September 2008.
ANAC analysis aimed to gauge, for each of the carriers, compliance with legal requirements regarding the ownership and effective control, referred to in paragraph f) of Article 4, as well as the financial capacity, referred paragraph 6 of Article 8, both of Regulation (EC) No 1008/2008 of 24 September 2008.
Based on all documents notified to this Authority, were approved by the Board of ANAC's management, the corresponding prior opinions on the terms and for the purposes set out in Article 8 of Regulation (EC) No 1008 / 2008 of 24 September 2008, with the following conclusions:
A. Regarding the legal requirement on the majority stake in the capital of TAP, SGPS, SA by Member States and / or nationals of Member States, it is understood that it is in compliance with the provisions of paragraph f) of Article 4 of Regulation (EC) No 1008/2008 of 24 September 2008;
B. Regarding the legal requirement for the effective control by Member States and / or nationals of Member States, and in order to ensure compliance of the operation with the provisions of paragraph f) of Article 4 of Regulation (EC) No o 1008/2008 of 24 September 2008, the parties were invited to:
i. Review the Statutes of the Atlantic Gateway towards the decisions of the respective Board of Directors on the appointment of members of the governing bodies of TAP, SGPS, SA and its subsidiaries have as approval requirement to a simple majority;
ii. Densify the provisions of the Statute of the Atlantic Gateway, the Shareholders Agreement and the draft amendment of the Statutes of TAP, SGPS, SA, in order to realize the governance model applicable to the appointment, organization and functioning of the CEO and the Commission executive corporate Atlantic Gateway, TAP, SGPS, SA, TAP, SA and PGA, SA, in order to demonstrate unequivocally that the current management of those companies is effectively controlled by HPGB, SGPS, SA, through holding managers of relevant work experience;
iii. Delete or revise the terms of the Atlantic Gateway Shareholders Agreement for the resolution of so-called "lock Situations" and "Divergence situations" in order to ensure equal rights to both Parties;
iv. Ensure that the rights which may be recognized at any bondholders in matters reserved to the General Meeting or the Board of Directors of TAP, SGPS, SA or its subsidiaries, do not exceed the rights to non-nationals of Member States of the European Union within the documentation and analyzed by this Authority considered compatible with European regulations.
C. As to the legal requirement concerning financial capacity, it turns out that, according to estimates presented financial statements and the related assumptions, the acquisition transaction does not call into question the fulfillment of economic and financial standing requirements set out in paragraph 6 Article 8 of Regulation (EC) No 1008/2008 of 24 September 2008.
The above findings, consolidating a previous opinion issued under paragraph b) of paragraph 5 of Article 8 of Regulation (EC) No 1008/2008 of the European Parliament and of the Council of 24 September 2008 do not represent a definitive assessment on the fulfillment of that Regulation. Such an assessment will be made by the Administrator based on the notification of the precise terms in which the change operation of the shareholder structure of air carriers will be achieved, in accordance with subparagraph c) of paragraph 5 of Article 8 of the Regulation.
Finally, we inform you that were not covered by the approved prior opinions, any future changes to the shareholder structure of TAP, SGPS, SA - in addition to those resulting from the acquisition of shares representing 61% of the share capital and the public offer to workers - or any changes to the conditions of current financing operations.
These changes, occurring, are necessarily subject to separate notification to the ANAC and the subsequent analysis and decision by this Authority.
Yesterday, TAP entered a brand new cycle of its already long lifetime of 70 years in operation after the completion of the company’s re-privatization process — the acquisition of 61% of its share capital by the Atlantic Gateway Group, which is jointly owned by both the HPGB, SGPS Society, led by the Portuguese Humberto Pedrosa, and by the DGN Corporation, led by the North-American David Neeleman.
Thereby, to the experience of the Portuguese airline, based on the quality of its work, largely recognized by the aviation market, we now welcome a different set of experiences and management qualities that are also nationally and internationally acknowledged within the Transport sector, especially the Air Transport one.
With this change, TAP will ensure that it keeps all its Portuguese features and traits, in combination with new skills and know-how, as well as will reinforce its Lisbon Hub. Altogether, this will allow TAP not only to maintain, but to strengthen its leading role in connecting Europe to Africa and to the Americas.
As of now, the priority goes to the adjustment and improvement of working methodologies, as well as to TAP's consolidation, so that the next step is taken towards the reinforcement of its fleet and the expansion of the network — namely in Brazil and North America.
The decision to order 53 new Airbus aircrafts of the latest generation has already been taken.
This will allow TAP to operate new fuel efficient aircrafts, provide customers with more comfort and new cabin interiors. We will also be able to offer a more suitable product to fit the needs of different customers, because our clients' satisfaction always comes first.
Starting today, TAP takes off to a journey leading into the future with arms wide open, looking forward to count with our Customers preference while we strengthen the relationship with our business partners.
Well, I wish SN had it's own David Neeleman instead of LH as major shareholder who refuse to invest anything in any form of fleet modernisation (I don't call adding 15 year old planes modernisation...).
Congratz TP, good news for frequent Brazil-travellers like myself!
Too bad though that they dropped the A350's order for 330NEO and 321LR for their intercontinental fleet. Maybe it will fit better in their structure and growth expectations.
TAP Portugal privatization may be halted by Portugal’s Socialist Party, one day after the ousting of the centre-right government which agreed to the sale.
sn26567 wrote:TAP Portugal privatization may be halted by Portugal’s Socialist Party, one day after the ousting of the centre-right government which agreed to the sale.
I really doubt it will happen. You already have money injected and an order for 53 new aircraft.
Because the airline was more than one year (!) without being able to have money borrowed from the banks (because of the the long privatization process), it was on the verge of a cash shortfall this month and consequent grounding. And surviving without that money was a miracle since TAP faced during that period several strikes; saw its yields slashed (although the load factor was kept in very good figures); the revenue from Brazil has been falling more than 50% when compared with previous years, etc.
Sonho1985 wrote:Well, I wish SN had it's own David Neeleman instead of LH as major shareholder who refuse to invest anything in any form of fleet modernisation (I don't call adding 15 year old planes modernisation...).
Congratz TP, good news for frequent Brazil-travellers like myself!
Too bad though that they dropped the A350's order for 330NEO and 321LR for their intercontinental fleet. Maybe it will fit better in their structure and growth expectations.
It's not a secret SN's shareholders (except LH) have been drawn in on the request of and with incentives from the government back in 2001/2002. All they cared about since SN Airholding was founded, was to get rid of their shares as soon as possible...
The LH Group on the other hand will/might incorporate SN into their general activities only if it suites the group as a whole... I don't think LH will allow SN to grow beyond Africa and some transatlantic routes.
Sale of 61 pct of TAP-Air Portugal officially completed
The contract for privatisation of 61 percent of TAP-Air Portugal was signed Thursday in Lisbon after the Cabinet approved the final draft of the carrier’s sales agreement, the Portuguese press reported.
Azul (Brazil) and TAP (Portugal) will begin reciprocal codeshare service on 10 December 2015, covering service between Portugal and Brazil, as well as domestic Brazil service.
Wow, Portugal may re-nationalise TAP because of a socialist party promise?
LISBON, Portugal (AP) — A battle is brewing between Portugal's new government and the consortium that won the privatization of the country's national airline, with the government insisting on bringing the flag carrier back under state control.
Prime Minister Antonio Costa said Friday his Socialist government will retake a majority stake in TAP Air Portugal, even if the Gateway consortium refuses to negotiate a compromise. He didn't elaborate.
Bringing the airline back into public ownership was a Socialist promise in Portugal's recent general election, but a large compensation payout for the new owners could be hard for the government to justify.
Gateway last month paid 354 million euros ($384 million) for 61 percent of the airline in a deal with the previous center-right government. The consortium has since injected fresh capital into the airline, which has debts of more than 1 billion euros, and ordered new aircraft for its aging fleet.
Gateway's David Neeleman, founder of the JetBlue airline in the United States and CEO of Brazil's Azul carrier, said Thursday the consortium intended to honor the contract it signed — indicating it won't budge from the agreement.
The consortium intends to expand the airline's operations to 10 more U.S. destinations and eight more in Brazil.
