The sale included 4,000 bad loans, which Lloyds acquired from Bank of Scotland before the closure of its branches in 2010.
Lloyds said: "Lloyds Banking Group has long stated that it is deleveraging its balance sheet and will do this by reducing its non-core assets.
"This includes its Republic of Ireland book, having announced its exit from the country and wind down of its book in 2010.
"Whilst we will not comment on individual transactions where there is no obligation to formally announce to the stock market, we can state that – in general – our non-core asset disposals involve assets where we have already largely provisioned for impairments and we continue to expect non-core reductions in aggregate to be capital accretive."
As of June 2014, Lloyds Bank has £13.4bn of assets in its non-core Irish banking division.
Lone Star purchased €677m of distressed mortgages from Investec in September and commercial property loans worth £900m from Lloyds in 2011.
Image: Lloyds code named the assets Project Paris. Photo: courtesy of Mtaylor848.
