Bank of Ireland plans €2bn of guaranteed bonds

Bank of Ireland plans to sell €2 billion ($2

Bank of Ireland plans to sell €2 billion ($2.6 billion) of two-year government-backed bonds, according to a banker involved in the sale.

The notes will be priced to yield 65 basis points more than the benchmark mid-swap rate, said the banker, who declined to be identified because the deal isn't complete.

A basis point is 0.01 percentage point.

BNP Paribas SA, Deutsche Bank AG, DZ Bank AG and Morgan Stanley will manage the sale with Dublin-based Bank of Ireland, the banker said.

Moody's Investors Service will rank the bonds at Aaa, its top investment-grade rating. Standard & Poor's will grade the debt an equivalent AAA, the banker said.

Bloomberg