Consortium threatens legal action against cancellation of Azores Airlines privatization

“The Newtour/MS Aviation consortium became aware today, through the media, of the decision taken by the Regional Government of the Azores not to proceed with the privatization process of Azores Airlines due to an alleged significant change in the economic and financial conditions taken into account in the initial assessment of the airline”, the note begins.

The entity highlighted that throughout the process, “it was always committed to the success of the operation” and that it remained “silent for the sake of independence, transparency and, above all, in institutional respect for all those involved”, namely “for SATA Internacional and for its workers.”

However, he said, given this decision, “silence no longer makes sense”.

“Newtour/MS Aviation does not agree with the decision of the Regional Government of the Azores not to continue with the privatization process of Azores Airlines”, he highlighted, ensuring that “it is formally unaware of the reasons behind this decision”.

The consortium considers that “the reason presented is unfounded, namely because the negotiation phase provided for in the tender rules could accommodate a possible change in the economic and financial conditions taken into account in the initial assessment of the airline”.

“Newtour/MS Aviation finds it strange that it was denied access to several tender documents, namely the final report prepared by the jury, as it requested it several times and through its own channels”, indicating that it “only knows the which was publicized by the media”.

Therefore, “the consortium will analyze the grounds that may be presented by the Regional Government of the Azores and resort to all legal mechanisms within its reach”, adding that “it will do everything to defend, on the one hand, the future of SATA International — Azores Airlines and its workers and, on the other, the position of the members of the consortium whose credibility and reputation were called into question during the competition”.

The Government of the Azores canceled the Azores Airlines privatization tender and will launch a new one, claiming that the company was valued at six million euros at the beginning of the process and is now worth 20 million.

“[O Conselho de Governo] decided not to proceed with the privatization process of Azores Airlines due to the significant change in the economic and financial conditions taken into account in the company’s initial assessment. The current privatization process of Azores Airlines is thus cancelled”, announced today the vice-president of the Regional Government of the Azores (PSD/CDS-PP/PPM), Artur Lima.

At the beginning of April, the jury for the public tender for the privatization of Azores Airlines delivered the final report and maintained the decision to accept only one competitor, but admitted reservations regarding the ability of the Newtour/MS Aviation consortium to ensure the company’s viability.

The Board of Directors of the SATA group, led by Teresa Gonçalves, who has since resigned, also expressed “reservations about the Newtour/MS Aviation consortium and the competitor’s limitations” in the opinion sent to the Regional Government.

ALN (CYB) // JNM

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