The Government of Argentina has announced plans to privatize several state-owned companies, arguing that, despite some being profitable, they could become deficit again due to political intervention. The process includes six possible outcomes for the companies: privatization through an Initial Public Offering (IPO), concession, transformation, transfer to the provinces, closure, or partnership with strategic partners.
Three main phases have been established to carry out the plan: definition, preparation, and execution, with an estimated completion time of approximately 6 to 8 months. Each of the companies, which include Aerolíneas Argentinas, Intercargo, and ARSAT, is being evaluated on a case-by-case basis considering aspects such as economic viability, business opportunities, and areas of interest for potential investors.
The government seeks to attract strong operators to take over the management of these companies, as in the case of AySA, which could go public on the Stock Exchange. The acceleration of the privatization process has been ordered by President Javier Milei, emphasizing the expected profitability for privatized companies and the reduction of state control in strategic areas of the economy.
Milei's team, composed of about 30 professionals, is already evaluating each company to define its future. Although total privatization in the short term is considered unfeasible, specific areas such as ground services or part of the fleet could be transferred to the private sector. The Government highlights the potential to generate income from these companies if managed efficiently from the private sector. Conversations have been held with the province of Córdoba, which seeks to receive the Embraer fleet to establish a new provincial airline.
The privatization process is seen as a crucial step to modernize and make the state apparatus more efficient. Companies like ARSAT have already announced privatization plans, while the privatization of Aerolíneas Argentinas is a sensitive issue in this plan. The sale of assets and the opening of capital to strategic investors are considered measures to optimize resources and avoid state subsidies. Currently, 59 companies are being analyzed in the Agency for the Transformation of Public Enterprises, led by Diego Martín Chaher.
