Norwegian Cruise Line Holdings announced earlier this week that they may not be in a position to continue trading due to the coronavirus pandemic. However, it has secured fresh funding, an additional $2.23 billion in liquidity.
Fresh funds to boost Norwegian Cruise Line
The cruise line has confirmed in a statement that they are now “well-positioned to weather Covid-19 impacts” once the proposed transactions are complete. The organization is preparing a $400 million public offering of common shares and is receiving a $400 million private investment from private equity firm L Catterton. They will also receive $750 million in exchangeable senior notes and $675 million in senior secured notes. All the funds will amount to $3.5 billion in liquidity.
“This significantly strengthens the company’s financial position and liquidity runway, and it now expects to be positioned to withstand well over 12 months of voyage suspensions in a potential downside scenario,” Norwegian Cruise Line Holdings said in a statement. The organization “has taken a swift and proactive approach to protect its future given the significant uncertainty and unknown duration of the Covid-19 global pandemic”.
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