Five Investors Submit Bids for Portugal's Azores Airlines Privatisation
Azores Airlines Privatisation Process and Investor Interest
Overview of the Privatisation
LISBON, Sept 23 (Reuters) - Portugal's air transport operator SATA Holding has received five non-binding offers for the privatisation of Azores Airlines, it said on Wednesday.
Stake Sale Details
• SATA Holding, owned by the Azores regional government, is seeking to sell at least a 75% stake in Azores Airlines, the carrier linking the mid-Atlantic Portuguese archipelago with mainland Portugal, Europe, the United States, Canada and Cape Verde.
Investor Shortlisting and Bid Submission
• Last week, SATA Holding shortlisted six investors to submit bids, non-binding at this stage, by September 21.
Bid Evaluation Process
• It said in a statement the five offers it received will now be analysed and evaluated under the terms of the privatisation process, after which selected bidders will be invited to submit binding bids. It did not identify the bidders.
Background and Financial Performance
Restructuring Plan
• The airline's privatisation forms part of a restructuring plan for the SATA group approved by the European Commission.
Financial Results
First-Half Net Loss Reduction
• Azores Airlines, which has a fleet of nine Airbus jets, cut its first-half net loss to €37.1 million ($42.46 million) from €41.1 million a year earlier despite higher fuel costs and weather-related disruptions, according to SATA Holding. ($1 = 0.8737 euros)
(Reporting by Sergio Goncalves; editing by Andrei Khalip)
