Syndication was expected to close by early June for a $200 million, one- year credit for the leading private sector Turkiye Is Bankasi, bankers say.

Lead arrangers for the deal are Sumitomo Bank, Sanwa Bank, National Westminster Bank and Dresdner Bank. A co-arranging group of around 15 institutions has also been established. The lead arrangers will underwrite about $50 million, and the co-arrangers the remainder, although the deal could be oversubscribed by about $30 million.

Is Bankasi's solid reputation attracted keen interest, and is reflected in a nominal interest of around 90 basis points over the London interbank offered rate (Libor). Including fees, the all-in cost could rise to around 1.45 per cent over Libor, the sources add. In contrast, pricing for a one-year deal for state Soil Products Office, being arranged by Citibank, is expected to work out at around 150 basis points over Libor, and an all-in cost of about Libor plus 1.8 per cent.