MIAMI, July 182022 /PRNewswire/ — Royal Caribbean Group (NYSE: RCL) today announced that it has received court approval to acquire the ultra-luxury cruise ship Endeavour. Originally delivered to Crystal Cruises in 2021, the ship will be renamed Silver Endeavor when it officially joins the group’s wholly-owned subsidiary, the Silversea Cruises fleet, this month.
The purchase price of the vessel was $275 million, significantly lower than the construction cost. The vessel was fully financed by a 15-year unsecured term loan guaranteed by the German export credit agency, Euler Hermes, with no amortization payments in the first two years. The acquisition is expected to be immediately accretive to earnings, cash flow and return on investment.
“With Endeavour, we seek to grow our world-class fleet to meet the exceptional demand for ultra-luxury expedition cruises, while improving our profitability profile and affirming Silversea’s position as an industry leader. ultra-luxury and expedition cruises,” said Jason LibertyPresident and CEO, Royal Caribbean Group.
Built to Polar Class PC6 specifications, the vessel can operate all of Silversea’s current expedition routes and is specifically designed to take travelers to the world’s most remote destinations, including both Polar Regions.
“The expedition cruise industry is poised to resume accelerated growth driven by demand from high-end, affluent customers for travel to remote and hard-to-reach destinations,” said Roberto Martinoli, President and CEO, Silversea Cruises. “This vessel will be the fourth vessel to join the Silversea fleet since 2020, demonstrating our commitment to growth.”
Silver Endeavor offers the highest industry standards in terms of space-to-guest ratio and crew-to-guest ratio, as well as top-notch accommodations and public areas. The ship’s state-of-the-art expedition amenities provide passengers with some of the most immersive and luxurious experiences available, including traveling with a fleet of zodiac boats for remote exploration.
“Providing the world’s best vacations, responsibly, is Royal Caribbean Group’s goal,” Liberty said. “Although our acquisition only covers the physical vessel, we want all of our guests to know that we go above and beyond to take care of them.”
Under the ongoing RCL Cares program, Royal Caribbean Group will protect deposits from customers who originally booked on Crystal Endeavor and rebook on one of the group’s global brands – Royal Caribbean International, Celebrity Cruises and Silversea Cruises.
“We believe these Crystal customers will get their deposits, but we want to give them some extra assurance,” Liberty added.
To the extent that Crystal Endeavor customers do not receive their deposits from Crystal or other sources, the Royal Caribbean group will refund any amount paid on their new booking up to the amount of their lost deposits from Crystal. Full terms of the offer will be provided soon on each brand’s website.
Silver Endeavor is expected to enter service in winter 2022/2023, spending its inaugural season at Antarctic departure November 2022.
About Royal Caribbean Group
Royal Caribbean Group (NYSE: RCL) is one of the world’s leading cruise lines with a global fleet of 63 ships traveling to approximately 1,000 destinations worldwide. Royal Caribbean Group owns and operates three award-winning cruise brands: Royal Caribbean International, Celebrity Cruises and Silversea Cruises, and also owns 50% of a joint venture that operates TUI Cruises and Hapag-Lloyd Cruises. Together, the brands have 10 additional ships on order from June 30, 2022. For more information, visit www.royalcaribbeangroup.com or www.rclinvestor.com.
Certain statements in this press release constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995. These statements relate to, among other things, the company’s expectations and projections regarding the growth of the expedition cruise industry. , customer demand and profitability. Forward-looking statements reflect management’s current expectations and are subject to risks, uncertainties and other factors that could cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied. referred to in these forward-looking statements. Factors that could affect our results include, among others, those discussed under “Risk Factors” in our most recent Quarterly Report on Form 10-Q, as well as our other filings with the SEC, copies of which may be obtained by visiting our Investor Relations website at www.rclinvestor.com or the SEC website at www.sec.gov. Undue reliance should not be placed on the forward-looking statements contained in this release, which are based on information available to us as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Royal Caribbean Group