Carnival Corporation announced that it has priced a private offering of $1 billion aggregate principal amount of its 5.75% convertible senior notes due 2027 as part of the Company’s 2024 refinancing plan.
The Convertible Notes will pay interest semi-annually on June 1 and December 1 of each year, beginning on June 1, 2023, at a rate of 5.75% per year. The Convertible Notes will mature on December 1, 2027, unless earlier repurchased, redeemed or converted.
The initial conversion rate per $1,000 principal amount of Convertible Notes is equivalent to 74.6714 shares of common stock of the Company, which is equivalent to a conversion price of approximately $13.39 per share, subject to adjustment in certain circumstances. The initial conversion price represents a premium of approximately 20% over the last reported sale price of the Company’s common stock on the New York Stock Exchange on November 15, 2022.