Portugal Selects Tap Bidder

Portugal has chosen Brazil's Synergy Aerospace, the majority owner of AviancaTaca, to purchase flag carrier Tap Air Portugal. Both Tap and AviancaTaca belong to the Star Alliance, simplifying that part of the deal. However, it is as of yet unclear how the parties intend to work around EU's 49% foreign ownership cap. This is yet one more example of the emerging trend toward cross-border consolidation. Restrictions on foreign ownership are looking increasingly obsolete.