Norwegian Cruise To Buy Prestige Cruises For $3.025 Bln, Incl. Debt

(RTTNews) - Norwegian Cruise Line Holdings Ltd. (NCLH), global cruise operator, announced that it agreed to acquire Prestige Cruises International Inc., the market leader in the upscale cruise segment and parent company of Oceania Cruises and Regent Seven Seas Cruises, in cash and stock for a total transaction consideration of $3.025 billion, including the assumption of debt.

Additionally, a contingent cash consideration of up to $50 million to Prestige shareholders would be payable upon achievement of certain 2015 performance metrics.

The Transaction Committee, who retained its own financial and legal advisors, has unanimously approved the transaction. The transaction is subject to regulatory approvals and other customary closing conditions and is expected to close in the fourth quarter of 2014.

Norwegian will finance the acquisition with existing cash, new and existing debt facilities and the issuance of approximately 20.3 million shares of its common stock.

Prestige operates eight ships and approximately 6,500 berths under two segment-leading brands.

The company stated that Frank Del Rio will remain chief executive officer of Prestige.