Thai Airways International plans to issue debentures worth up to 40 billion baht ($1.2 billion) within five years as it refinances its debt.
The debentures will be used for the "refinancing of mature debt obligations and/or as working capital", says the carrier.
Its board will propose the move to Thai's shareholders at the 28 April annual general meeting on 28 April, it adds.
The debentures may be issued in baht or in other currencies of the equivalent amount "in order to provide flexibility in funding according to fund needs and capital market conditions," says the airline.
Thai has said it plans to acquire 15 aircraft from now until 2014 with a budget of 35.5 billion baht.
It has also said it plans to issue new shares this year to raise 20 to 25 billion baht as it restructures its debt.
Source: Air Transport Intelligence news