More cash raising from Carnival Corp

Carnival Corp has said that it expects to post another multi-billion dollar loss in Q3. Its cruises have been massively affected by the Covid-19 pandemic, with only some local cruises in the Asia and European markets making a tentative return.

Shareholders are being asked for more cash. Carnival is planning to raise another $1bn through a stock offering. It has already raised several billions of dollars via issuance of debt and equity, with the rate of interest being paid on the debt being in the junk bond category.

The company has said that it could survive for 18 months without running a cruise, but  its shares have lost about 2/3rds of their value this year, and were 8% on Monday.

Carnival, which is based in Miami but which has several subsidiary brands based elsewhere in the world, said that advance bookings for the second half of 2021 were at the higher end of its historical range.