ANAC: Chinese entrance of HNA in the capital of TAP was not the subject of analysis – Jornal de Negócios – Portugal

The Civil Aviation Authority (ANAC) only ruled on the bond issue of TAP 120 million and not on changes to the shareholder structure based on the conversion of these obligations airline’s capital, which may be result in the entry of the Chinese Hainan Airlines.

in Business, official sources in the civil aviation regulator said that the decision taken last Friday, taking into account the limitations imposed on management of TAP in the analysis to the privatization of the company which was completed in November, only concerns the bond issue of 120 million euros.

Although under the loan terms be possible to convert these bonds into shares of TAP, “it was not committed by ANAC,” he said.

According to the source, when you realize the interest in converting into capital TAP the regulator must be notified of the change of shareholder control, which is required under the European regulation which provides that the ownership and control of a Community airline must belong to a national member State or of a member State .

the bond issue on which the ANAC ruled Friday refers to an operation that will be subscribed by Azul, the Brazilian airline founded by David Neeleman, in which HNA acquired a position.

The ANAC is currently considering the privatization of 61% of TAP completed in November, although the state have already reached an agreement with the Atlantic Gateway to regain 50% of the company air. However, despite already be a signed memorandum of understanding, the regulator will only be called upon to rule in relation to the purchase and sale of shares and shareholders agreement.

In the memorandum of understanding signed in February the Government came to authorize the entry into the capital of Atlantic Gateway HNA percentage to be agreed between the new owners of TAP and Chinese, provided they do not undermine the EU rules. HNA was also authorized to subscribe directly part of the loan of EUR 120 million, convertible into shares.

This Tuesday is taking place the general meeting (AG) TAP aimed at realize the injection of 120 million euros in the airline, after the civil aviation regulator has authorized the implementation of the bonds referred to in the carrier’s recapitalization plan.

for now, TAP will move forward only with the issuance of 90 million euros, which will be guaranteed by major shareholders. The remaining 30 million will be subscribed by the State, which will only happen after realized the deal with Atlantic Gateway, which will ensure you 50% of the airline’s capital.

The injection of this amount the company needed the authorization the civil aviation regulator, which on 19 February imposed limitations on the management of TAP for three months taking into account the existence “of founded nonconformity evidence of corporate control structure and financing” TAP against European rules.

(updated news at 11:57)