NCLH Secures ~$5 Billion in Financing for Two New Cruise Ships

Norwegian Cruise Line Holdings Ltd. (NCLH), through its subsidiaries, has entered into two credit facility agreements to secure up to approximately $5.0 billion in financing for the construction of two new cruise ships. The financing, which covers 80% of the delivery payments, is insured by SACE S.p.A., the Italian state export credit agency.

Key Details

• Financing Details: The credit facilities provide up to ~$2.5 billion for each of the two new vessels, for a total of approximately $5.0 billion.
• Vessel Delivery Timeline: The new ships are scheduled for delivery in 2034 and 2036.
• Credit Terms: The loans mature 12 years after each ship's delivery date and will bear interest at a floating rate of six-month Term SOFR plus a margin of 0.90% per annum. Repayment will occur in 24 equal semi-annual installments starting six months post-delivery.
• Guarantee & Security: Obligations under the credit facilities are guaranteed by subsidiary NCL Corporation Ltd. and will be secured by a first lien mortgage on each new ship upon its delivery.