Associated Press has reported the Portuguese government has announced its increased stake in TAP Air Portugal from 50% to 72.5%, the news source said.
TAP Air Portugal, one of Europe´s smaller national airlines, has been posting losses even before the nation felt the full brunt of the COVID-19 pandemic.
The European Commission recently granted the Portuguese government permission to inject EUR 1.2 billion euros into TAP, on the condition it scaled back the airline´s operations and cut its costs.
The government, in return for injecting cash into the company, wanted more control over its finances, but the private investors resisted changes to TAP´s financial structure.
TAP is one of Europe´s smaller national airlines and is part of the Star Alliance, a global airline partnership. It has about 10,000 employees and about 100 aircraft. It flies to more than 80 destinations in about 30 countries, focusing mainly on North and South America and Africa.