UPDATE 2-Campari increases bond as orders swell -lead

* Amount raised to 350 mln euros from 300 mln euros -lead

* Yield revised to 245 bps over mid-swaps -lead

(Releads with lead manager on amount, yield)

By Gabriella Bruschi

MILAN, Oct 8 (Reuters) - Italian drinks company Davide Campari-Milano (CPRI.MI) increased its seven-year bond to 350 million euros ($517 million) after orders swelled, a lead manager said on Thursday.

The yield of the bond has been revised to 245 basis points above mid-swaps, the lead manager added, tightened from an initial 250-260 bps.

Earlier sources close to the operation told Reuters orders for the bond swelled to between 2.5 billion euros and 3.0 billion as books closed, adding the company could therefore decide to issue slightly more than the 300 million euros initially indicated.

"In light of the order book, the issuer has decided to increase the amount to 350 million euros from around 300 million euros initially," the lead manager said.

The bond will expire on Oct. 14, 2016. Campari appointed Banca IMI, BNP Paribas and Calyon to be lead managers on Oct. 1. (Reporting by Gabriella Bruschi; Writing by Jo Winterbottom; Editing by John Stonestreet and David Holmes) ($1=.6775 Euro)