Businessmen Carlos Tavares, Tiago Raiano, Paulo Pereira, and Nuno Pereira have submitted a joint bid to acquire 85% of Azores Airlines, it was announced today. According to a statement, “following agreements reached with representatives of pilots and cabin crew, Carlos Tavares, Tiago Raiano, Paulo Pereira, and Nuno Pereira submitted a joint proposal to acquire 85% of Azores Airlines,” part of the SATA group. From this point on, the four businessmen submitting the proposal will be represented by a single entity, called Atlantic Connect Group.

A source connected to the process explained to the Lusa news agency that businessmen Tiago Raiano (Newtour tourism group) and Nuno Pereira (MS Aviation) – Newtour and MS Aviation consortium – initially submitted the proposal to acquire the Azorean airline and, at the beginning of this year, joined forces with businessmen Carlos Tavares (former CEO of Stellantis) and Paulo Pereira (owner of Quinta da Pacheca), creating the new entity Atlantic Connect Group to represent them and provide “a single voice.”

“With this unified organization, and aligned with the same purpose, the businessmen reinforce the coherence and clarity of the proposal, ensuring communication with one voice with all stakeholders, starting with the company’s employees,” the statement reads. The jury for the privatization tender for Azores Airlines (a SATA group company that operates from the Azores archipelago to other destinations) is now beginning a period of review of all the documentation submitted.

According to the note, the Atlantic Connect Group “is available to provide the jury with any necessary clarifications, while maintaining, at this stage, the appropriate public reserve for a process that is intended to be rigorous, impartial, and swift.”

The proposal submitted “takes into account the company’s current financial situation and incorporates the strategic vision of the entrepreneurs, focused on the company’s sustainability and the consolidation of its operations as a strategic asset for Portugal and the Autonomous Region of the Azores,” it concluded. The jury for the Azores Airlines privatization tender accepted the request from the Newtour/MS Aviation consortium (the business group that initially submitted the acquisition proposal) and extended the deadline for submitting a proposal to purchase the company until November 24.

The position of the jury, led by economist Augusto Mateus, came after the Newtour/MS Aviation consortium requested an extension of the deadline for submitting a bid for the purchase of Azores Airlines, as it had initially set the deadline for October 24.

On November 9, the Civil Aviation Pilots Union (SPAC) revealed to the Lusa news agency that the Azores Airlines Company Assembly had approved, with 75% of the votes, the agreement negotiated between the SPAC leadership and the Newtour/MS Aviation consortium.

The privatization of Azores Airlines was negotiated with the Newtour/MS Aviation consortium, and the Regional Government (PSD/CDS-PP/PPM) admitted the possibility of a private negotiation or the company’s closure if an agreement could not be reached. On May 2, 2024, the Azores Government announced the cancellation of the Azores Airlines privatization tender and the launch of a new one. Still, it ultimately authorized SATA’s management to negotiate with the consortium.

In June 2022, the European Commission approved Portuguese state aid in the amount of €453.25 million in loans and state guarantees to support the airline’s restructuring, including measures such as a reorganization of the structure and the divestment of a controlling stake (51%).

In Açores9-Paulo Melo, director.

Translated into English as a community outreach program by the Portuguese Beyond Borders Institute (PBBI) and the Modern and Classical Languages and Literatures Department (MCLL), in collaboration with Bruma Publication and ADMA (Azores-Diaspora Media Alliance) at California State University, Fresno. PBBI thanks Luso Financial for sponsoring NOVIDADES.