Carnival rescue bond eschews euros as dollars goes large

carnival 575x375 from company
By Jon Hay, Owen Sanderson
01 Apr 2020

The high yield bond leg of the rescue package for cruise company Carnival is flying off the shelves in the dollar market, leading the company to increase it from $3bn to $4bn, cut pricing, and drop the planned euro tranche entirely — but the equity capital raising is proving tougher and has been shrunk by $500m.

The rescue package, announced on Monday, consisted of a $1.25bn rights issue, a $1.75bn unsecured convertible bond and, originally, a $3bn senior secured bond in dollars and euros. 

All three legs of the deal are due to be priced at the close of the US market tonight.

That $6bn of ...

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