Royal Caribbean Group Stock Price, News & Analysis

Royal Caribbean Cruises (NYSE: RCL) has successfully completed a private offering of $1.5 billion in 5.625% Senior Notes due 2031. The company plans to use the proceeds to refinance existing debt, including:

• Redeeming all outstanding $700 million of 7.250% Senior Notes due 2030
• Repaying the entire $232 million Silver Dawn finance lease

These actions will result in RCL having no remaining guaranteed or secured notes outstanding. The new notes were offered only to qualified institutional buyers and certain non-U.S. persons, and are not registered under the Securities Act. Any remaining proceeds may be used to temporarily repay borrowings under revolving credit facilities.

Royal Caribbean Group (NYSE: RCL) has announced the pricing of a $1.5 billion offering of senior unsecured notes due 2031, upsized from the initially announced $1.0 billion. The notes, carrying a 5.625% interest rate, are set to mature on September 30, 2031, with issuance expected around September 26, 2024. The company plans to use the proceeds to refinance existing debt, including redeeming all outstanding 7.250% Senior Notes due 2030 and repaying the Silver Dawn finance lease. This move will result in RCL having no remaining guaranteed or secured notes outstanding. The offering is to qualified institutional buyers and certain non-U.S. persons, adhering to SEC regulations.

Royal Caribbean Cruises (NYSE: RCL) has announced a private offering of $1.0 billion in senior unsecured notes due 2031. The company plans to use the proceeds to refinance existing debt, including:

• Redeeming all outstanding 7.250% Senior Notes due 2030
• Repaying the Silver Dawn finance lease in full

This move will eliminate all of RCL's remaining guaranteed indebtedness. The notes are being offered only to qualified institutional buyers and certain non-U.S. persons, and will not be registered under the Securities Act. Any excess proceeds may be used to temporarily repay revolving credit facility borrowings.

Royal Caribbean Group (NYSE: RCL) has signed an agreement with Meyer Turku for a fourth Icon Class ship, set to be delivered in 2027. The deal includes options for a fifth and sixth ship in the class. This expansion follows the successful launch of Icon of the Seas in January 2024, which has exceeded expectations in guest satisfaction and financial performance.

The announcement reinforces RCL's commitment to moderate capacity growth and innovation in vacation experiences. The Icon Class ships combine beach retreat, resort escape, and theme park adventure elements. With this order, Meyer Turku will have built 21 ships for Royal Caribbean Group over 28 years. The company's newbuild pipeline now includes seven ships on order and two shipyard options.

Royal Caribbean Group (NYSE: RCL) has completed private exchange transactions with certain holders of its 6.000% Convertible Senior Notes due 2025. The company exchanged approximately $827 million in aggregate principal amount of the 2025 Notes for about 11.4 million shares of common stock and $827 million in cash. The cash portion was funded through borrowings under revolving credit facilities. Following the exchange, approximately $323 million in aggregate principal amount of the 2025 Notes remain outstanding.

CFO Naftali Holtz stated that this transaction addresses a 2025 debt maturity while reducing outstanding shares and share equivalents on a fully diluted basis by 5.1 million shares. The exchange is not expected to materially impact 2024 adjusted earnings per share.

Royal Caribbean International's Star of the Seas is set to debut in August 2025, offering 7-night vacations from Port Canaveral (Orlando), Florida. This Icon Class ship will feature:

- Category 6 waterpark with six record-breaking waterslides
- Seven pools, including an adults-only suspended infinity pool
- Eight unique neighborhoods, including Thrill Island, Chill Island, and Surfside for young families
- Over 40 dining and drinking options
- New Lincoln Park Supper Club with 1930s Chicago-inspired experience

Star of the Seas will join Utopia of the Seas in Port Canaveral, offering vacationers a choice between weeklong Caribbean trips and shorter Bahamas getaways. The ship will also visit Royal Caribbean's Perfect Day at CocoCay in The Bahamas.

Royal Caribbean Group (NYSE: RCL) has successfully completed a $2.0 billion private offering of 6.000% Senior Notes due 2033. The company plans to use the proceeds, along with borrowings from its revolving credit facilities, to redeem all outstanding 9.250% Senior Notes due 2029 and 8.250% Senior Secured Notes due 2029 on August 13, 2024. This move will effectively eliminate RCL's remaining secured indebtedness.

The new Notes, maturing on February 1, 2033, were offered exclusively to qualified institutional buyers and certain non-U.S. persons, in compliance with Securities Act regulations. This refinancing strategy aims to optimize Royal Caribbean's debt structure and potentially reduce interest expenses.

Royal Caribbean International announces a $100 million transformation of the Allure of the Seas, set to debut in April 2025. This upgraded cruise ship will feature over 35 dining and drinking options, resort-style pools, water slides, and thrilling activities, offering a premier vacation experience in Europe. Travelers can embark on 7-night western Mediterranean voyages from Barcelona, with destinations including France, Italy, and Spain. Key features include The Pesky Parrot tiki bar, the Ultimate Abyss slide, and a new adults-only Solarium. The ship will also include the Royal Escape Room and glow-in-the-dark laser tag. The Allure of the Seas will join five other Royal Caribbean ships in Europe for the summer before heading to Florida in November 2025 for Caribbean trips.

Royal Caribbean Cruises (NYSE: RCL) has announced exchange agreements with certain holders of its 6.000% Convertible Senior Notes due 2025. The exchange involves approximately $731 million of the outstanding principal amount, leaving about $419 million remaining. The Exchange Consideration will be a combination of cash and common stock, with the cash portion representing the par amount of the notes being repurchased.

The stock portion will be determined based on a five-day volume-weighted average price starting August 6, 2024. RCL plans to fund the cash portion through borrowings from revolving credit facilities. The exchange is expected to close on August 16, 2024, and aims to reduce the Company's weighted average shares outstanding on a fully diluted basis.