The disposal, due to take place in an auction, would be the first in a renewed round of planned privatizations by the Swedish government after it was re-elected last September.
The government plans to initially sell 200 million Nordea shares, with the possibility of extending the offer to a further 55 million shares.
The offer will be open to Swedish and international investors through an accelerated bookbuilding process run by Nomura, Morgan Stanley and SEB.
Swedish government, which will reduce its stake by nearly a third through the sale, will use the proceeds to cut national debt.
Recently, Nordea posted fourth quarter results above analysts’ expectations thanks to the strong recovery of the Swedish economy. The bank’s net profit for 2010 was EUR2.66bn ($3.68bn).
Sweden is Nordea’s second largest shareholder with a 19.8% stake, trailing Finnish insurer Sampo, which held a 20.6% stake at the end of 2010.
Swedish media reported that Sampo, would be interested in purchasing more of the bank.
The state said that it won’t dispose any additional shares in Nordea within 90 days after the transactions close.
