Lufthansa signs €1.025bn deal for 44.9% stake in TAP Air Portugal

Lufthansa Group and the Portuguese government signed an agreement in Lisbon on 3 November 2026 for Lufthansa to acquire 44.9% of TAP Air Portugal for €1.025 billion, roughly $1.2 billion. According to Simple Flying, the signing came nearly three weeks after Portugal chose Lufthansa over Air France-KLM, and the transaction still needs regulatory approval.

Deal terms

Simple Flying reports that Lufthansa will fund the purchase entirely from existing liquidity. Portugal will initially keep majority ownership, and European Commission approval is required before completion. The article lists expected closing as 2028, subject to approval.

The outlet, citing Euronews, says the group could raise its holding to 49.9% by buying shares initially reserved for TAP employees. That could lift total consideration to €1.2 billion. A later move to a majority stake is described as under consideration, and Lufthansa has welcomed the prospect of full privatisation.

Why Lufthansa won

Simple Flying says Air France-KLM had initially looked the more attractive buyer, given its complementary hubs in Paris and Amsterdam and the fact that it was not already absorbing another acquisition. Lufthansa is still integrating ITA Airways. TAP already shares Star Alliance membership with Lufthansa.

According to the report, Portugal said Lufthansa's offer was up to 16% higher than Air France-KLM's and carried less uncertainty, while both bidders' strategic commitments had become broadly comparable. Prime Minister Luís Montenegro called Lufthansa "the choice that best protected Portugal's national interests."

Strategy and commitments

Lufthansa CEO Carsten Spohr stressed that the networks are complementary, particularly in South America and Brazil. Lisbon would become the group's seventh hub, with further growth planned in Portuguese-speaking Africa and North America. Lufthansa expects up to €450 million in synergies, most of them potentially before it gains majority ownership.

The group estimates its share of Europe–Latin America traffic at about 9%, rising to about 20% with TAP included. Commitments include keeping TAP's Portuguese identity, strengthening regional connectivity and increasing investment in Portugal. The government has outlined potential fleet growth to 130 aircraft, and a new Lufthansa Technik facility near Porto should lift the group's Portuguese workforce above 1,000 by 2030.

Simple Flying notes that Lufthansa's multi-brand model, covering SWISS, Austrian Airlines, Brussels Airlines and ITA, lets carriers keep their identities. It also points out that TAP's minority structure means Lufthansa must deliver synergies without full control.

What this means for travellers

Nothing changes immediately. Completion is not expected until 2028 and depends on regulatory approval, so existing TAP bookings, schedules and loyalty arrangements are unaffected for now.

• Over time, travellers could see more connections between Europe and Latin America, especially Brazil, via Lisbon.
• Growth in Africa and North America routes is planned, though the source gives no specific routes or dates.
• TAP is to keep its Portuguese identity, and regional connectivity is a stated commitment.

The source does not detail any changes to TAP or Miles & More loyalty benefits, fares or alliance membership. Those remain unknown.

Sources: Simple Flying.