RBS advised to sell Ulster Bank stake

State-backed British lender Royal Bank of Scotland has been formally advised by Morgan Stanley to sell a majority stake in its Irish unit, Ulster Bank, the Sunday Business Post reported.

RBS commissioned the investment bank earlier this year to advise it on potential merger opportunities for Ulster Bank, the biggest bank in Northern Ireland and the third largest in the Republic of Ireland

An announcement could be made as early as next week and could trigger a formal bidding process, the Sunday Business Post said, without quoting sources.