Pegasus Airlines appoints banks for IPO: sources

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Pegasus Airlines has mandated Barclays and Is Yatirim Menkul Degerler to handle an initial public offering (IPO) that will help bankroll its 75 single-aisle aircraft order, banking sources indicate.

Proceeds from the IPO will "fund fleet growth and flight network expansion and strengthen the liquidity situation", according to the carrier's offering prospectus.

The listing will increase the carrier's capital to 102.3 million liras ($56.8 million) from 75 million liras, the prospectus indicates.

Esas Holdings controls 96.5% of the carrier and will sell 32.08 million shares, or its 31.4% stake, according to the prospectus.

In December, Pegasus placed a firm order for 75 Airbus A320-family Neos, with options for a further 25 units.

The Turkish carrier signed a contract for 58 A320neos and 17 A321neos. The aircraft have a list value of $12 billion.

Pegasus currently operates a fleet of 37 Boeing 737-800s and two 737-400s, according to Flightglobal's Ascend Online database.

Pegasus Airlines, Barclays and Is Yatirim Menkul Degerler were unavailable for comment at the time of press.