Investing.com -- Citigroup Inc (NYSE: C ). and JPMorgan Chase & Co. (NYSE: JPM ) are reportedly in the process of discussing a $2.2 billion debt financing deal with investors to support ABC Technologies Holdings Inc., a Canadian auto parts manufacturer. This funding will aid in the acquisition of Britain’s TI Fluid (LON: TIFS ) Systems Plc, as per Bloomberg News, citing sources familiar with the situation.

This funding arrangement will comprise leveraged loans and high yield bonds, and will be denominated in dollars and euros, the sources said. The sources wished to remain anonymous as the deal is still private. ABC Technologies, which is supported by Apollo Global Management (NYSE: APO ) Inc., had previously agreed in November to purchase TI Fluid Systems for approximately £1 billion ($1.3 billion).

The banks have started pre-marketing to a select group of investors to measure initial interest in the deal. The debt sale is expected to be launched soon after, though the plans are subject to change, the sources added. In addition to financing the acquisition, the funds will also be used to refinance existing debt at ABC and TI Fluid, as well as cover fees and expenses, according to the sources.

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