British Airways’ parent IAG is expected to bid for Portuguese flag carrier TAP, which is being put up for sale along with Lisbon airport.
Barclays Capital, Banco Espirito Santo, Citi and Credit Suisse are advising the government on the privatization of both TAP and the airport operator ANA, which are expected to happen within the next six months.
IAG boss Willie Walsh said last week that his group’s interest in the airline was waning, according to the Financial Times, but he has not ruled out acquiring the loss-making carrier.
However, he could face competition from Lufthansa, which has also expressed an interest in the TAP for its strong air links to Brazil, one of the world’s fastest growing travel markets.
Global Infrastructure Partners, the owners of Gatwick and London City airports, is interested in making a bid for ANA, and Ferrovial, the Spanish owner of Heathrow parent BAA is also keen, said the FT.
By Linsey McNeill
