Iceland to Sell Euro Bonds Amid Push to Ease Krona Controls

Iceland is planning to sell six-year euro-denominated bonds to shore up foreign exchange coffers as the government prepares to start phasing out capital controls in place since the country’s economic collapse in 2008.

The north Atlantic island hired Barclays Plc, Citigroup Inc., Deutsche Bank AG and JPMorgan Chase & Co. to handle the sale, according to a person familiar with the matter who asked not be identified. The initial price talk on the debt is about 190 basis points over the mid-swap rate, the person said.