May 6 (Reuters) – Norwegian Cruise Line Holdings Ltd has raised over $2.2 billion through debt and equity offerings, giving the cash-strapped cruise operator much-needed funds to survive extended voyage suspensions due to the COVID-19 pandemic.
The company warned on Tuesday that it might not have funds to keep its business running for the next 12 months. With the new fund raising, the company now expects to have $3.5 billion in liquidity, enough to last it for more than 12 months of voyage suspensions.
The pandemic has halted international travel and effectively shut down the cruise ship and airline industries, with companies now bleeding cash and scrambling for new funds to ride out the slowdown that could last longer than expected.
Norwegian previously said it planned to restart cruise operations on July 1.
Norwegian said the new cash injection of $2.23 billion, comprises $400 million in new equity, $1.43 billion in bond offerings and a $400 million investment from private equity firm L Catterton.
The company said it now expects to now have about $3.5 billion of liquidity. (Reporting by Uday Sampath in Bengaluru; Editing by Saumyadeb Chakrabarty)
(c) Copyright Thomson Reuters 2019.
Join the gCaptain Club for curated content, insider opinions, and vibrant community discussions.
Join the 110,047 members that receive our newsletter.
Have a news tip? Let us know.
Sweden’s Navy completed a survey of the seabed near one of the damaged data cables in the Baltic Sea as the Nordic country investigates potential sabotage against the underwater infrastructure.
A Russian Navy frigate equipped with new generation hypersonic cruise missiles has conducted drills in the English Channel and is carrying out tasks in the Atlantic Ocean, Russian news agencies reported on Tuesday.
(Bloomberg) — Chinese lawmakers got a head start on the US election this week as they gathered to vote on the largest fiscal package since the pandemic. But now that...
Access exclusive insights, engage in vibrant discussions, and gain perspectives from our CEO.
Sign Up
Maritime and offshore news trusted by our 110,047 members delivered daily straight to your inbox.
Essential news coupled with the finest maritime content sourced from across the globe.
Sign Up
Join The Club
