LISBON, June 3 (Reuters) - Portugal’s supreme administrative court approved on Wednesday an injunction to suspend the privatisation of airline TAP, just two days before a deadline for final binding bids in the sale, the court said.
The court accepted a request for the suspension of TAP’s sale based on the argument that the government failed to contract two independent institutions to make an evaluation of the airline before its sale. The action was launched by a citizens’ association opposed to the privatisation.
In order to resume the sale, which is opposed by some of TAP’s unions and workers, the government will have to invoke a law stating that the sale is in the public interest.
In May the government picked two Brazil-based aviation tycoons for the next phase of the privatisation - American-Brazilian investor David Neeleman, who founded U.S. airline JetBlue, and German Efromovich, who controls Latin America’s Avianca.
Reporting By Sergio Goncalves, writing by Axel Bugge