British American Tobacco, the world’s second-largest cigarette maker, plans to sell about € 1 bn of bonds in euros and sterling.

The maker of Lucky Strike cigarettes is returning to the market after postponing a sterling issue last December amid market uncertainty ahead of a legal ruling in the US on Philip Morris, which makes Marlboro cigarettes, about selling light cigarettes. The ruling went in the tobacco maker’s favour.
The deal from BAT is expected to include a € 500 million issue with a maturity of September 2014 and a £ 300 million deal that matures in September 2016, according to people close to the transaction.
Barclays Capital, Deutsche Bank, HSBC and RBS are lead-managing the sale. (pi)