Rolls-Royce, the UK engine manufacturer, has turned to three new banks to arrange a euro-denominated benchmark bond that will be the company's largest debt offering and a welcome boost to flagging European corporate bond supply in 2004.

BNP Paribas, Citigroup and JP Morgan are expected to launch the bond, which will be worth at least €750m ($933m), on Tuesday after completing the bond allocation process. The deal, which marks Rolls-Royce first foray into the international bond markets since for almost four years, is expected to attract strong demand as investors take advantage of the opportunity to buy debt from a prestigious company that rarely issues bonds.