The liquidators of Irish Bank Resolution Corporation (IBRC), formerly Anglo, have abandoned the sale of the failed lender’s junior Nama bonds, according to sources.

The liquidators, from KPMG in Dublin, scrapped the sale after the bids for the €843 million of notes failed to meet a reserve price. The liquidator has not disclosed the reserve to bidders.

IBRC was given the bonds in part payment for loans it sold in 2010 to Nama.

Some 95 per cent of the payment was in senior Nama bonds, with the remainder in subordinated bonds.

The junior securities only pay out if the agency beats its target of redeeming all its senior debt by 2020.

The liquidators declined to comment on the sale of the securities.

The Government directed Nama in February to take over any IBRC assets, including junior Nama bonds, not sold at a reserve price.

Goodbody offered the bonds at a discount to nominal value, sources said.

The bank valued them at 15 cents in the euro in June 2012, while Allied Irish Banks values its subordinated Nama bonds at 10 per cent of nominal value and Bank of Ireland at 44 per cent.

Bloomberg