Norwegian Cruise Line Holdings Announces Upsize of its Revolving Credit Facility

Rhea-AI Summary

Norwegian Cruise Line Holdings (NYSE:NCLH) has successfully increased its senior secured revolving credit facility from $1.7 billion to $2.486 billion, maintaining the existing terms and 2030 maturity date. This enhancement represents a significant boost to the company's liquidity position and demonstrates strong lender confidence.

The company, which operates Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises, currently manages a fleet of 33 ships with approximately 70,050 berths. NCLH has ambitious expansion plans, with 12 additional ships planned through 2036, which will add over 37,500 berths to its fleet.

Positive

• Significant increase in revolving credit facility by $786 million to $2.486 billion
• Maintained existing favorable terms and 2030 maturity date
• Enhanced financial flexibility for strategic initiatives
• Strong fleet expansion pipeline with 12 new ships planned through 2036
• Demonstrated continued confidence from lending partners

Negative

• Substantial debt obligations requiring maintenance of minimum liquidity levels
• Increased debt exposure and associated interest payment obligations
• Significant portion of assets remain as collateral under credit agreements

Insights

Financial Analyst

NCLH strengthened its financial flexibility by upsizing its revolving credit facility by $786M, enhancing liquidity without changing terms.

Norwegian Cruise Line Holdings has successfully increased its senior secured revolving credit facility by 46% - from $1.7 billion to $2.486 billion while maintaining the existing terms and 2030 maturity date. This represents a substantial $786 million boost to the company's available liquidity.

This enhanced revolving facility provides NCLH with a significant financial buffer that can be drawn upon as needed, strengthening the company's ability to weather potential industry volatility or capitalize on growth opportunities. The unchanged maturity date means this additional liquidity comes without accelerating any repayment timeline.

The transaction signals continued lender confidence in NCLH's operational trajectory and financial stability - particularly noteworthy in the capital-intensive cruise industry where maintaining adequate liquidity is essential. Revolving credit facilities function as financial safety nets, allowing companies to access capital quickly without going through new debt issuance processes.

For context, NCLH is executing an ambitious fleet expansion with plans to add 12 ships through 2036, increasing passenger capacity by over 37,500 berths. This enhanced credit facility helps support this long-term growth strategy while providing flexibility for managing existing operations and potential market fluctuations.

This move represents prudent financial management - securing additional liquidity during a period of relative stability rather than waiting for potential market distress when such financing might become more expensive or unavailable.

MIAMI, June 26, 2025 (GLOBE NEWSWIRE) -- Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH) (together with NCL Corporation Ltd., “Norwegian Cruise Line Holdings” or the “Company”) announced that it has successfully upsized its existing senior secured revolving credit facility from $1.7 billion to $2.486 billion, with the existing terms and maturity date of 2030 unchanged.

“The upsizing of our revolving credit facility significantly enhances our liquidity, representing another key step in further optimizing our capital structure and highlighting the continued confidence our lending partners have in our strategy and performance,” said Mark A. Kempa, Executive Vice President and Chief Financial Officer of Norwegian Cruise Line Holdings Ltd. “The enhanced revolver provides us with greater flexibility to execute on our strategic priorities and supports our long-term growth trajectory.”

About Norwegian Cruise Line Holdings Ltd.

Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH) is a leading global cruise company that operates Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises. With a combined fleet of 33 ships and approximately 70,050 berths, NCLH offers itineraries to approximately 700 destinations worldwide. NCLH expects to add 12 additional ships across its three brands through 2036, which will add over 37,500 berths to its fleet. To learn more, visit www.nclhltd.com.

Cautionary Statement Concerning Forward-Looking Statements

Some of the statements, estimates or projections contained in this release are “forward-looking statements” within the meaning of the U.S. federal securities laws intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts contained in this release, including, without limitation, our expectations regarding our results of operations, future financial position, including our liquidity requirements and future capital expenditures, plans, prospects, actions taken or strategies being considered with respect to our liquidity position, including with respect to refinancing, amending the terms of, or extending the maturity of our indebtedness, our ability to comply with covenants under our debt agreements, expectations regarding our exchangeable notes, valuation and appraisals of our assets, expected fleet additions and cancellations, including expected timing thereof, and our expectations regarding the impact of macroeconomic conditions and recent global events, may be forward-looking statements. Many, but not all, of these statements can be found by looking for words like “expect,” “anticipate,” “goal,” “project,” “plan,” “believe,” “seek,” “will,” “may,” “forecast,” “estimate,” “intend,” “future” and similar words. Forward-looking statements do not guarantee future performance and may involve risks, uncertainties and other factors which could cause our actual results, performance or achievements to differ materially from the future results, performance or achievements expressed or implied in those forward-looking statements. Examples of these risks, uncertainties and other factors include, but are not limited to the impact of: adverse general economic factors, such as fluctuating or increasing levels of interest rates, inflation, unemployment, underemployment and the volatility of fuel prices, declines in the securities and real estate markets, and perceptions of these conditions that decrease the level of disposable income of consumers or consumer confidence; our indebtedness and restrictions in the agreements governing our indebtedness that require us to maintain minimum levels of liquidity and be in compliance with maintenance covenants and otherwise limit our flexibility in operating our business, including the significant portion of assets that are collateral under these agreements; our ability to work with lenders and others or otherwise pursue options to defer, renegotiate, refinance or restructure our existing debt profile, near-term debt amortization, newbuild related payments and other obligations and to work with credit card processors to satisfy current or potential future demands for collateral on cash advanced from customers relating to future cruises; our need for additional financing or financing to optimize our balance sheet, which may not be available on favorable terms, or at all, and our outstanding exchangeable notes and any future financing which may be dilutive to existing shareholders; the unavailability of ports of call; future increases in the price of, or major changes, disruptions or reduction in, commercial airline services; changes involving the tax and environmental regulatory regimes in which we operate, including new and existing regulations aimed at reducing greenhouse gas emissions; the accuracy of any appraisals of our assets; our success in controlling operating expenses and capital expenditures; adverse events impacting the security of travel, or customer perceptions of the security of travel, such as terrorist acts, armed conflict, or threats thereof, acts of piracy, and other international events; public health crises, and their effect on the ability or desire of people to travel (including on cruises); adverse incidents involving cruise ships; our ability to maintain and strengthen our brand; breaches in data security or other disturbances to our information technology systems and other networks or our actual or perceived failure to comply with requirements regarding data privacy and protection; changes in fuel prices and the type of fuel we are permitted to use and/or other cruise operating costs; mechanical malfunctions and repairs, delays in our shipbuilding program, maintenance and refurbishments and the consolidation of qualified shipyard facilities; the risks and increased costs associated with operating internationally; our inability to recruit or retain qualified personnel or the loss of key personnel or employee relations issues; impacts related to climate change and our ability to achieve our climate-related or other sustainability goals; our inability to obtain adequate insurance coverage; implementing precautions in coordination with regulators and global public health authorities to protect the health, safety and security of guests, crew and the communities we visit and to comply with related regulatory restrictions; pending or threatened litigation, investigations and enforcement actions; volatility and disruptions in the global credit and financial markets, which may adversely affect our ability to borrow and could increase our counterparty credit risks, including those under our credit facilities, derivatives, contingent obligations, insurance contracts and new ship progress payment guarantees; our reliance on third parties to provide hotel management services for certain ships and certain other services; fluctuations in foreign currency exchange rates; our expansion into new markets and investments in new markets and land-based destination projects; overcapacity in key markets or globally; and other factors set forth under “Risk Factors” in our most recently filed Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission. The above examples are not exhaustive and new risks emerge from time to time. There may be additional risks that we currently consider immaterial or which are unknown. Such forward-looking statements are based on our current beliefs, assumptions, expectations, estimates and projections regarding our present and future business strategies and the environment in which we expect to operate in the future. You are cautioned not to place undue reliance on the forward-looking statements included in this release, which speak only as of the date made. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in our expectations with regard thereto or any change of events, conditions or circumstances on which any such statement was based, except as required by law.

Investor Relations and Media Contacts

Sarah Inmon
(786) 812-3233
InvestorRelations@nclcorp.com

FAQ

What is the new size of Norwegian Cruise Line Holdings' (NCLH) revolving credit facility?

NCLH has upsized its senior secured revolving credit facility from $1.7 billion to $2.486 billion, representing an increase of $786 million.

When does NCLH's revolving credit facility mature?

The revolving credit facility maintains its existing maturity date of 2030.

How many ships does Norwegian Cruise Line Holdings currently operate?

NCLH operates a combined fleet of 33 ships with approximately 70,050 berths across its three cruise brands.

What are NCLH's fleet expansion plans?

NCLH plans to add 12 additional ships across its three brands through 2036, which will add over 37,500 berths to its fleet.

How will the upsized credit facility benefit Norwegian Cruise Line Holdings?

The enhanced credit facility provides NCLH with greater financial flexibility to execute strategic priorities and supports long-term growth trajectory while significantly improving liquidity position.