Carnival to Sell $1.5 Billion Junk Bond as Cruises Return to Water

  • Cruise operator looks to push out near-term maturities
  • Offering follows a $2.3 billion refinancing of expensive debt

    

Photographer: Patrick T. Fallon/Bloomberg
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Carnival Corp. sold a junk bond Tuesday that was increased $2 billionBloomberg Terminal, just over a week after the cash-burning cruise operator boosted the size of a leveraged loan deal that helped the company slash its borrowing costs.

Its offering of 7.5-year unsecured notes, up from an original target of $1.5 billion, priced at a yield of 6%, according to people with knowledge of the matter, who asked not to be identified discussing a private transaction.