Carnival Corporation has announced that it has priced a registered direct offering of an aggregate of 57,426,860 shares its common stock at a price of $18.05 per share to a limited number of holders of its 5.75% Convertible Senior Notes due 2023, the company said in a press release.
The Corporation intends to use the proceeds from the Offering to repurchase from such Holders an aggregate of $499,364,000 principal amount of its Convertible Notes in privately negotiated transactions.
On a net basis, the Corporation will not receive any proceeds from the Transactions and will pay customary fees and expenses in connection therewith. Therefore, the Transactions will not have a material impact on the Corporation’s cash position. Following the Note Repurchases, an aggregate of $627,547,000 principal amount of the Corporation’s Convertible Notes will remain outstanding.
The Offering is expected to close on November 19, 2020 (except with respect to 8.2 million Shares which is expected to close on November 20, 2020), subject to customary closing conditions.