EU Extends Deadlines for SATA and TAP Divestments

The European Commission has extended deadlines for SATA and TAP airlines to divest assets, part of restructuring aid conditions set by Portugal's government, which aims to privatize a 49.9% stake in TAP within a year to potentially increase its sale later.

The European Commission has announced an extension to the deadlines for SATA and TAP airlines to fulfill asset divestment requirements. These were set as conditions for the restructuring aid provided by the Portuguese Government.

Portugal's government, aiming to privatize a portion of its flag carrier TAP, had restarted the lengthy privatisation process last year. This move included the potential sale of a 49.9% stake in TAP, planned to occur within a year.

The EU's extension provides more time for TAP and SATA to meet these conditions, potentially allowing for greater flexibility in the privatisation process.

(With inputs from agencies.)