Cebu Pacific is seeking sale-and-leasebacks for as many as 17 of its Airbus A320s, according to two sources.

The airline was originally seeking to lease-back 14 of the aircraft, but subsequently increased the number to 17 to encompass its entire owned A320 fleet, according to one of the sources.

Besides these 17 aircraft, ranging from four to seven years of age, the Philippine low-cost carrier also has 13 leased A320s: one from Aircastle, seven from Arena Aviation Capital, one from CDB Aviation, one from the Deucalion Aviation Funds, one from Merx Aviation Finance, and two from SMBC Aviation Capital, Cirium fleets data shows.

“It’s a liquidity exercise, yes – but it’s also a residual value exercise because they have the [A320neo] delivery stream,” the person says, adding that as Cebu has decided not to increase its fleet size amid the coronavirus crisis, it needs to match deliveries with redeliveries.

Between August 2020 and February 2026, Cebu Pacific has 37 A321neos scheduled to enter the fleet, according to Cirium fleets data. It also has five A320neos scheduled for delivery in 2024.

The formal RFP has been in the market for several weeks, but Cebu did test the water with its relationship lessors and lenders beforehand, according to one source.