Portugal

Lufthansa pays a fee of 1.5% a year until the purchase of TAP is closed

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Based on a feed excerpt; full article content has not been acquired. Source evidence retrieved 19/10/2026, 07:56:26 UTC.

Briefings

Lufthansa will pay a 1.5% annual ticking fee to TAP until the acquisition closes in the first half of 2028, with the total purchase price potentially reaching 1.2 billion euros. CFO Till Streichert confirmed the 44.9% stake purchase at 1.025 billion euros, while the government estimates a total potential value of 1.201 billion euros including worker shares and other adjustments. The transaction is expected to boost Lufthansa's profits in the first full year post-closure, funded by cash without new equity issuance.

Key points

• Lufthansa will pay a 1.5% annual ticking fee to TAP until the acquisition closes in the first half of 2028.
• The total purchase price for the 44.9% stake is 1.025 billion euros, potentially reaching 1.2 billion euros including worker shares and adjustments.

Context

This acquisition involves Lufthansa purchasing a 44.9% stake in TAP, with the government estimating a total potential value of 1.201 billion euros. The ticking fee is a standard compensation mechanism for buyers during the lockbox period, and the transaction is expected to improve Lufthansa's profitability in the first full year after closing.

Limitations

The evidence does not specify how the 1.5% ticking fee is distributed among the 58 billion euros in adjustments, nor does it clarify if the fee continues if the Brussels government delays the deal beyond 2028. The CFO's estimate of 18-24 months for financial consolidation is approximate, and the final contract signing date is not specified.

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