Turkish Airlines is expected to mandate parties next month on two different request for proposals, financing sources indicate.
The Turkish carrier approached the market late in June with request for proposals for financing for a mix of Airbus and Boeing deliveries due in the first half of next year.
According to the terms of the RFP, five Airbus A330-300s are scheduled to deliver between January and June 2014. The RFP is worth $540 million,according to the document.
The Boeing RFPs, worth $980 million, include 10 Boeing 737-800 deliveries scheduled between February and June next year as well as three 777-300ER aircraft expected next summer.
The 737-800 part of the RFP is worth $500 million while the 777s are worth $480 million.
Turkish Airlines is seeking export credit agencies (ECA) guaranteed structures, 12-year JOLCO financings, sale and leaseback proposals as well as guaranteed bond facilities and banking sources say the carrier is in the second stage of the process.
The Istanbul-based carrier closed its first capital market deal in June with a yen-dominated transaction refinancing four 737 Next Generation deliveries.
It issued a 12-year bond through a vehicle, Mercury Aircraft Leasing priced at a 1.345% coupon, the equivalent to yen mid-swap spreads plus 50 basis points.