Burger King, the world's second largest burger chain, is preparing to raise $500m (€509.6m) through a high-yield bond denominated in euros and dollars to partly fund its purchase by three private equity firms.

High-yield bond investors have had the transaction on their radars since the chain was sold by Diageo, the UK drinks group, in July for $2.26bn. The deal is expected to garner strong demand amid low supply in the European high-yield market.