Chinese conglomerate HNA is seeking to acquire a share in Portuguese airline company TAP, bringing Macau businessman Stanley Ho – founder of HK Express airline company, which TAP purchased 45 per cent of – to cross paths once again with the company with whom a previous deal turned sour, reported Portuguese publication Público yesterday. According to the Public newspaper HNA is currently trying to arrange a US$136 million (MOP1.08 billion) indirect bond loan through Azul, a Brazilian airline company in which the HNA group holds 24 per cent. Azul was founded by David Neeleman, one of the members of a consortium which currently controls TAP – the Portuguese aviation company – Atlantic Gateway. In 2006, Mr. Ho acquired, through his venture capital firm Geocapital, 85 per cent of VEM, a maintenance company belonging to the Brazilian airline company VARIG, reported the publication. In the following year, TAP then acquired a premium of 20 per cent of VEM in a deal that is currently being investigated by the Portuguese Government’s Prosecutor’s Office, with TAP president Fernando Pinto being looked into. VEM has since been redefined and rebranded as Brazilian airline M&E Brasil, which was expected to return the TAP investment in eight years but has so far cost the Portuguese airline hundreds of millions of dollars in judicial and labour court cases left behind by Varig’s administration, reported Público. Now Diogo Lacerda Machado, one of the administrators at Geocapital at the time of the VEM deal, has been appointed by the Portuguese Government as the government’s representative in the deal between TAP and Atlantic Gateway – the private consortium HNA is using to secure a foothold in TAP.
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