Azores government foresees completion of SATA privatisation process in September
The Regional Government of the Azores (PSD/CDS-PP/PPM) admitted on Thursday that the privatisation process of Azores Airlines – a SATA Group company – could be completed by September as negotiations continue between the aviation consortium and the government.
“The jury (of the consortium) is dealing with the negotiations between the consortium and the board of administration. We expect that these negotiations and conversations between the consortium and the SATA board will be concluded”, said Duarte Freitas, the regional secretary of Finances, Planning and Public Administration of the Azores.
Duarte Freitas, who was speaking to journalists after a reading of the conclusions of the Council of Government in Ponta Delgado (Island of São Miguel) added that the consortium was contacting employees and unions which he considered “very reasonable and beneficial for the process and for the future of Azores Airlines”, but admitted that this work would “take some time”.
“What we want is that throughout the month of September, at the latest, we can finalise the concrete proposal of the consortium.”
He said that closing the sale process was not just dependent on the negotiations and discussions between the consortium and the unions, and the jury process, but also depends on a number of initiatives carried out with the Competition Authority and the National Civil Aviation Authority.
On December 9, 2024, the President of the Government of the Azores confirmed that SATA and the consortium Newtour/MS Aviation were negotiating the privatisation of Azores Airlines and added that the region would foot the bill for the airlines debts of which €60 million had already been paid off.
Before May 2, 2024 the regional government cancelled the privatisation competition and launched a new one claiming that the airline had been valued at €6 million at the start of the process but is now valued at €20 million.
In June 2022, the European Commission approved Portuguese State financial support of €453.25 million in State loans and guarantees to restructure the airline company, foreseeing measures such as a structural reorganisation and a divestment of a 51% controlling share.
