Norwegian Cruise Line Holdings Ltd. Completes $1.8 Billion Senior Notes Offering and Credit Agreement Amendment

Norwegian Cruise Line Holdings Ltd. recently closed a private offering of $1,800.0 million aggregate principal amount of 6.750% senior notes due 2032 (the “2032 Notes”) through its subsidiary, NCL Corporation Ltd. The net proceeds from the offering, approximately $1,782.0 million, along with cash on hand, were utilized to redeem $1,200.0 million of the 5.875% Senior Notes due 2026 and $600.0 million of the 8.375% Senior Secured Notes due 2028, including any accrued interest and related fees.

The 2032 Notes were issued under an indenture between NCL Corporation Ltd. and U.S. Bank Trust Company, National Association, with interest accruing at 6.750% per year and payable semi-annually. These notes will mature on February 1, 2032, with provisions for early redemption or repurchase by NCL Corporation Ltd.

In addition to the Notes Offering, NCLC entered into a Seventh Amended and Restated Credit Agreement on January 22, 2025. The new agreement increased the lenders’ commitments under the senior secured revolving loan facility from $1,200,000,000 to $1,700,000,000 and extended the maturity date to January 22, 2030.

Furthermore, the company entered into a supplemental indenture to secure its 8.125% Senior Secured Notes due 2029 against the collateral securing the Revolving Loan Facility. The agreement added new guarantors and adjusted existing negative covenant thresholds.

Lastly, on February 2, 2023, NCL Corporation Ltd. issued $600.0 million aggregate principal amount of the 8.375% Senior Secured Notes due 2028, which were subsequently redeemed on January 22, 2025, using the proceeds from the Notes Offering and existing cash reserves.

These financial transactions are essential strategic moves for Norwegian Cruise Line Holdings Ltd., providing opportunities for refinancing, deleveraging, and optimizing its capital structure. Interested parties can find detailed information about these transactions and agreements in the company’s SEC filings.

Cautionary Note Regarding Forward-Looking Statements: This release contains forward-looking statements based on the company’s current strategies and market expectations. Actual results could differ materially due to various risk factors detailed in the company’s regulatory filings. The company assumes no obligation to update or revise any forward-looking statements as conditions change or new information becomes available.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Norwegian Cruise Line’s 8K filing here.

About Norwegian Cruise Line

Norwegian Cruise Line Holdings Ltd., together with its subsidiaries, operates as a cruise company in North America, Europe, the Asia-Pacific, and internationally. The company operates through the Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises brands. It offers itineraries ranging from three days to a 180-days calling on various ports, including Scandinavia, Northern Europe, the Mediterranean, the Greek Isles, Alaska, Canada and New England, Hawaii, Asia, Tahiti and the South Pacific, Australia and New Zealand, Africa, India, South America, the Panama Canal, and the Caribbean.