Royal Caribbean Group, the world’s second largest cruise shipping group, said it would use part of the $986 million senior note offering to refinance existing debt at a lower rate of interest.

The senior secured notes due 2026 the company has just issued carry a coupon of 5.50%.

The company said it would redeem 40% of the senior secured notes due in 2025 that carry a coupon of 11.50% by the proceeds of the latest note offering.

The 11.50% notes were offered in May last year and the principal amount of the offering was $2.32 billion, according to a statement the company issued at the time.