Bloomberg newswires, citing an un-named source said an initial guidance of 5.5 percent had been set.
The price guidance may be revised later based on demand.
The bank said earlier it was looking to raise 300 to 500 million US dollars through the bond sale.
In 2012 Bank of Ceylon sold a 500 million US dollar 5-year bond to yield 6.875 percent after setting initial price guidance of 7.1 percent.
Sri Lanka's state-run Bank of Ceylon has sold a 500 million dollar 5-year sovereign bond to yield 6.875 percent a year with the investors oversubscribing the issue 7.7 times.