SANTIAGO, April 28 (Reuters) - LATAM Airlines Group SA, Latin America's biggest carrier, said on Tuesday it would not participate in the privatization of Portuguese flag-carrier TAP under current market conditions.
The Brazilian government has been encouraging its airlines to take part in the TAP sale to strengthen tourist ties with Portugal.
However, LATAM - formed in 2012 with the merger of Chile's LAN and Brazil's TAM - thinks now is not the right time, Chairman Mauricio Amaro told journalists following the company's annual general meeting in Santiago.
"Things change, but under current market conditions and what we know of the TAP privatization, today I would say that LATAM will not participate in this privatization," he said.
Companies interested in Portugal's sale of a 66 percent stake in TAP have until May 15 to present proposals.
Reporting by Felipe Iturrieta, Writing by Rosalba O'Brien. Editing by Andre Grenon