Air France-KLM, Lufthansa Bids for Portugal’s TAP to Advance (1)

Portugal is likely to advance competing bids from Air France-KLM and Deutsche Lufthansa AG to buy a minority stake in flag carrier TAP SA, according to people familiar with the matter.

State holding company Parpública, which manages ownership of the airline, has recommended that both non-binding offers proceed to the next stage, the people said.

The government is expected to consider that advice at a cabinet meeting as soon as Thursday, said the people, who asked not to be identified discussing a confidential process. Portugal is preparing to sell as much as 49.9% of TAP, with an initial 5% ...