Royal Caribbean Inks Financing Deals for Icon Ships

Illustration; Image Courtesy: Royal Caribbean

Miami-based cruise company Royal Caribbean International has entered into credit agreements for the financing of the first and second Project Icon ships.

Under the deals, signed on October 11, 2017, Royal Caribbean Cruises is granted an unsecured US dollar-denominated term loan, the substantial majority of which is to be guaranteed 100% by the official export credit agency of Finland, Finnvera plc.

Euler Hermes, the official German export credit agency, has also agreed to provide a 95% guarantee of a smaller portion of the financing.

The maximum amount of each facility is equal to the US dollar equivalent of 80% of the vessel purchase price plus 100% of the guarantee premiums payable to Finnvera and Hermes, Royal Caribbean said.

Each loan, once funded, will amortize semi-annually and will mature twelve years following the delivery of the applicable ship. Some 75% of each loan will accrue interest at a fixed rate of 3.56%, in the case of the first Project Icon vessel, and 3.76%, in the case of the second Project Icon vessel.

The new 200,000 gross ton ships, which would be constructed by Finnish shipbuilder Meyer Turku, are scheduled for delivery in the second quarters of 2022 and 2024, respectively.

Royal Caribbean earlier said that these vessel will mark the beginning of a new generation of liquefied natural gas (LNG) powered cruise ships and introduce the use of fuel cell technology.

Additionally, the company has entered into an agreement to amend and restate its current USD 1.15 billion unsecured revolving credit facility. Signed on October 12, the amendment extends the termination date until October 2022.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Nov 2017 >>
MTWTFSS
30 31 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 1 2 3

Maritime Information Warfare 2017

Maritime Information Warfare will focus on the growing need for navies to develop their information exploitation capabilities…

read more >

INTERNATIONAL GREEN SHIPPING AND TECHNOLOGY SUMMIT

The Summit will gather key marine experts and companies around the globe which have a big influence in the industry…

read more >

The CWC 18th Annual World LNG Summit & Awards Evening

The CWC World LNG Summit will continue to give you access to premium networking opportunities as it brings together the who’s who…

read more >

Marintec China 2017

The largest maritime event in Asia Pacific, Marintec China connects maritime professionals from the entire shipbuilding supply chain together.

Over the years, Marintec China has grown to reflect the size and importance of the Asian maritime market. 2015 event is another record-breaking edition with the largest exhibition area and the highest number of industry professionals attending ever. The encouraging figures proven that China remains one of the major shipbuilding nations and Marintec China has been the most authoritative platform in Asia.

With the maritime industry facing great opportunities but also many challenges, it is important for the industry to connect and engage more to ultimately win new business in globally-significant markets. A visit to Marintec China is a great way to learn about the latest technology and innovation of the supply industry, a platform for industry professional to meet face to face, make connection and do business.

Marintec China is poised to be the definitive event and is undoubtedly a must-attend for all involved in the maritime industry.

Marintec China will be held from 5 to 8 December 2017 at the Shanghai New International Expo Centre in Shanghai, China and continue its dedication to serve as the “LEADING” platform “CONNECTING” the community and “STRENGTHENING” the maritime industry.

Marintec China offers the perfect opportunity for companies serving the maritime market to showcase their innovations, products and services to a wide audience. A platform for face to face meetings in business, creating new relationships and consolidating existing ones.

More info

read more >