Carnival Corporation Completes $4.3 Billion in Financing Transactions

Paul, Weiss advised Carnival Corporation & plc in two recent debt financing transactions totaling approximately $4.3 billion. The first transaction, completed on October 18, consisted of an incremental first-priority senior secured term loan facility in an aggregate principal amount of $2.3 billion, which is being used to redeem the outstanding principal amount of Carnival’s 11.5% first-priority senior secured notes due 2023. The second transaction consisted of a Rule 144A offering of $2 billion principal amount of 6% senior unsecured notes due 2029, the proceeds of which are expected to be used for scheduled principal payments on debt and general corporate purposes.

Carnival is one of the world’s largest leisure travel companies, with a portfolio of nine of the world’s leading cruise lines and operations in North America, Australia, Europe and Asia.

The Paul, Weiss team included, among others, corporate partner John Kennedy and counsel Patricia Vaz de Almeida; executive compensation partner Lawrence Witdorchic and counsel Jake Glazeski; tax partner Brian Grieve; and environmental counsel William O’Brien.