Denizbank is joining the recent spurt of activity by Turkish banks in the DPR sector. The originator has scheduled a transaction for up to $200 million for the end of this week via sole lead Merrill Lynch, according to a source. The legal final maturity is five years and Moody's Investors Service has given the paper a preliminary rating of Baa3.'
The deal is backed by all existing and future dollar-, euro-, and sterling-denominated payment orders received by Denizbank. The volume of those flows multiplied by three times between 2002 and 2004, according to a report by Moody's. Part of that explosive growth has been fed by business from the Zorlu group, a leading Turkish conglomerate and Denizbank's majority-owner. The originator's DPR flows totaled $6.98 billion in 2004 up from $2.16 billion in 2002.