Carnival Corp (CCL) has arranged a new forward starting $2.1 bill multi-currency revolving credit facility.
This new revolver will replace CCL’s existing multi-currency revolving credit facility upon its maturity in August, 2024.
It was issued by CCL’s subsidiary Carnival Holdings (Bermuda) II Limited and has an initial term of one year, commencing August, 2024, with two, mutual one-year extension options.
It also contains an accordion feature, allowing for additional commitments up to an aggregate of $2.9 bill, which is the amount of the existing revolver.
“Our new facility enables us to retain the full benefit of our $2.9 bill revolver until August, 2024, while building on our base $2.1 bill commitment over the next 18 months.
“The successful transaction is a direct reflection of our strong bank relationships and confidence in our continuing return to strong profitability, which we plan to utilise as a springboard to deleveraging and returning to investment grade,” said CFO David Bernstein (pictured).
The new issue will be unsecured and guaranteed on an unsecured basis by CCL, Carnival plc and the same company subsidiaries that guarantee the existing revolver.
CCL and its subsidiaries will also contribute three unencumbered ships to the borrower, with each of the vessels continuing to be operated under one of the company’s brands.
The revolver was co-ordinated by Bank of America, BNP Paribas and JP Morgan, while PJT Partners served as independent financial advisor to Carnival Corp.
