Media report: Lufthansa looks set to win bidding race for Portuguese TAP

According to a media report, Lufthansa is offering the purchase price for the Portuguese airline entirely in cash. This would make Air-France KLM's offer less attractive.

TAP aircraft: Will Lufthansa take action? Photo: REUTERS

Lisbon. According to a media report, Lufthansa is about to join the Portuguese airline TAP. The German group will be awarded a 44.9 percent stake and thus prevail against rival Air France-KLM, the television station SIC reported on Tuesday evening, citing insiders.

Lufthansa is offering the purchase price entirely in cash, while the French-Dutch competitor's offer includes a mix of cash and shares. In addition, the Germans' stronger financial situation was the decisive factor.

The Portuguese infrastructure ministry declined to comment. The government wants to decide on the winner at an extraordinary cabinet meeting on Wednesday.

Air France-KLM and Lufthansa submitted their final bids for the stake in September. The Portuguese government had previously asked both interested parties to make improvements.

More: Lufthansa and Air France-KLM submit offers for TAP

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