Market Overview

Norwegian Announces Pricing Of Its $250M Public Offering

Norwegian Announces Pricing Of Its $250M Public Offering

Norwegian Cruise Holdings Ltd (NSYE: NCLH) late Thursday announced the pricing of its $250 million public offering.

The company priced about 16.6 million shares at $15 each. Underwriters for the offering can exercise a greenshoe option to purchase up to 2.5 million additional shares.

The cruise company said it expected to use the proceeds of the offering for "general corporate purposes."

JP Morgan Chase & Co. (NYSE: JPM), Barclays Plc (NYSE: BCS), Citigroup (NYSE: C), and subsidiaries of Goldman Sachs Group Inc (NYSE: GS), Mizuho Financial Group Inc's (NYSE: MFG), and UBS Group AG (NYSE: UBS) are acting as joint book running managers for the offering.

Norwegian also announced a debt offering to the tune of $750 million in six-year senior secured notes and $400 million of exchangeable five-year senior notes.

The proceeds raised from the debt would be used to repay its $675 million senior secured revolving facility, and to pay any related transaction fees and expenses, the Miami-based company said. The remainder, if any, is to be used for general corporate purposes.

The mixed offering of stock and debt comes at a time when Miami-based Norwegian has been hit hard by the COVID-19 pandemic, with most cruises suspended till October.

Price Action

Norwegian shares traded 1.4% higher at $15.83 in the pre-market session Friday.


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Posted-In: Coronavirus Cruise PandemicNews Offerings