Royal Caribbean is issuing $650 million of five-year junk bonds – MarketWatch

Royal Caribbean Group RCL, -2.38% said Tuesday it has commenced a private offering of $650 million of five-year, high-yield bonds. Proceeds of the deal will be used to fund the redemption of about $619.8 million of 7.25% notes that mature in 2025 that were issued by Silversea Cruise Finance Ltd., the cruise operator said in a statement. The remaining funds will be used for general corporate purposes. Shares were up 0.5% premarket and have gained 18% in the year to date, while the S&P 500 SPX, +0.18% has gained 13%.