Jan. 31 (Bloomberg) -- The German state of Bavaria plans to sell 500 million euros of seven-year bonds, according to a banker involved in the transaction.

The notes may be priced to yield 1 basis point more than the benchmark mid-swap rate, the banker said. BayernLb, LBBW and UniCredit SpA are managing the sale.

To contact the reporter on this story: Hannah Benjamin in London at hbenjamin1@bloomberg.net

To contact the editor responsible for this story: Andrew Reierson at areierson1@bloomberg.net