Carnival cruises launches £4.8bn cash call


Carnival cruises launches £4.8bn cash call as industry shutdown is extended into the summer

Carnival has launched a massive £4.8billion cash call to shore up its finances as the industry shutdown was extended into the summer. 

The cruise line company announced it would raise £1billion from a public share sale, and by borrowing an additional £3.8billion on the bond markets to see it through the crisis. 

The money will be used for day-today spending, it said. Carnival’s stock suffered a rollercoaster day, first falling 13.5 per cent before shooting back up to finish better off by 7.9 per cent, or 72.2p, at 981.4p. 

Cruise line company Carnival announced it would raise £1bn from a public share sale, and by borrowing an additional £3.8bn on the bond markets to see it through the crisis

Cruise line company Carnival announced it would raise £1bn from a public share sale, and by borrowing an additional £3.8bn on the bond markets to see it through the crisis

The cruise industry has been one of the hardest hit by the coronavirus crisis as bookings evaporated. 

On Monday Carnival joined Royal Caribbean, Norwegian Cruises and MSC in extending the period their fleets are docked to at least the end of May. 

There are also concerns travellers may be wary of going on cruises until a vaccine for coronavirus is found. 

The Diamond Princess drew global focus in February after its passengers were quarantined for a month off the coast of Japan as the virus infected 600 on board. 

READ  Tuesday Papers: Oracle’s TikTok deal to be reviewed this week



READ SOURCE

LEAVE A REPLY

Please enter your comment!
Please enter your name here