Carnival Corporation announced that it has commenced a private offering of $1 billion aggregate principal amount of convertible senior notes due 2027 to be used as part of the company’s 2024 refinancing plan.
The news came after market close on Tuesday, sending Carnival stock down more than 10 percent in after hours trading.
The Convertible Notes will be fully and unconditionally guaranteed on a senior unsecured basis, jointly and severally, by Carnival and certain of the Company’s and Carnival’s subsidiaries that own or operate vessels and material intellectual property and that guarantee certain of the Company’s other indebtedness, including its first-priority secured indebtedness and second-priority secured indebtedness, the company said.