Starbucks Corp., which said last month that it would pay Mondelez International Inc. $2.79 billion to settle a distribution dispute, plans to borrow $750 million to help fund the outlay.

The world’s largest coffee-shop operator intends to sell $400 million of three-year bonds that may yield 38 basis points more than similar-maturity Treasurys and $350 million of five- year notes that may pay 63 more than benchmarks, according to a person with knowledge of the offering who asked not to be identified, citing lack of authorization to speak publicly. Proceeds may be used to fund a portion of the arbitration award, Seattle-based Starbucks said today in a regulatory filing.

The payment consists of $2.23 billion in damages and $557 million in interest and attorneys’ fees and settles a dispute that began in 2010, when Starbucks offered $750 million to end an agreement through which Mondelez, then known as Kraft Foods Inc., distributed its coffee to food retailers.

Kraft rejected the offer, and Starbucks sought to wrest control of its packaged coffee business as revenue grew and surpassed gains in other segments.