Norwegian Cruise Line Holdings Ltd. (NCLH), the world’s third largest listed cruise shipping group, said it has taken the proactive measure of securing additional $675 million in liquidity by entering into a credit agreement.
The group transacted this through its subsidiaries, NCL Corporation Ltd. and Norwegian Epic, Ltd. with JPMorgan Chase Bank, N.A., as administrative agent and as collateral agent, and certain other lenders thereto which provides for revolving loans in an aggregate principal amount of $675.0 million.
“The Norwegian Epic Credit Agreement shall be used for general corporate purposes. The maturity date of the Norwegian Epic Credit Agreement is March 4, 2021.As of March 9, 2020, no borrowings were drawn under this Norwegian Epic Credit Agreement nor NCLC’s other $875.0 million senior secured revolving credit facility, resulting in availability under these revolving credit agreements of $1.55 billion, “NCLH said.
The loans under the Norwegian Epic Credit Agreement shall bear interest at a per annum rate of LIBOR plus a margin of 0.80%. In addition to paying interest on outstanding loans under the Norwegian Epic Credit Agreement, Norwegian Epic is required to pay commitment fees on the undrawn portion of the commitments under the Norwegian Epic Credit Agreement and customary agency fees.Norwegian Epic may voluntarily and permanently terminate the commitments under the Norwegian Epic Credit Agreement, in whole or in part, at any time, subject to payment, NCLH said.