Royal Caribbean Cruises gets $1.05 billion 12-year unsecured term loan

By Sara Rosenberg

New York, May 13 - Royal Caribbean Cruises Ltd. closed on a new $1.05 billion 12-year unsecured term loan, according to an 8-K filed with the Securities and Exchange Commission on Wednesday.

BNP Paribas, Nordea Bank and Skandinaviska Enskilda Banken acted as the lead arrangers and bookrruners on the deal that was completed on May 7, with BNP the administrative agent.

Finnish Export Credit Ltd. will fund about 40% of the loan and the financial institutions will fund the remaining about 60%.

Each of the financial institutions may elect repayment of their respective portions of the loan on the six-year anniversary.

The loan is comprised of an $840 million tranche and a roughly €159.4 million tranche.

It is expected that when the loan is drawn, $420 million will be at a fixed interest rate of 5.41% and the balance will be at a floating interest rate of either Libor plus 300 basis points or Euribor plus 225 bps.

Proceeds will be used to help fund the purchase of Oasis of the Seas.

Royal Caribbean is a Miami-based operator in the cruise vacation industry.

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