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)
STOCKTON, CA – The advertisement was easily overlooked—a dilapidated cruise ship for sale on Craigslist in 2008. But for Chris Willson, a tech entrepreneur from Utah, it was a siren’s...
The German government and the state of Lower Saxony have taken action to secure the future of MEYER WERFT, the renowned shipbuilder in Papenburg. As part of the deal, the...
Ever wondered how cruise lines supersize their ships? In 2008, the cruise ship Balmoral underwent a significant transformation at Hamburg’s Blohm + Voss shipyard when it was extended by 99...
September 18, 2024
Total Views: 1600
Why Join the gCaptain Club?
Access exclusive insights, engage in vibrant discussions, and gain perspectives from our CEO.
This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.