Virgin Voyages has closed on $550 million in new capital raised to support its growth, including the launch of two more ships and expansion into new markets in Australia and the Caribbean.
The funding was led by funds and accounts managed by BlackRock and includes new external financing and additional capital from existing investors, including Bain Capital Private Equity and Virgin Group. Virgin Voyages has also received additional, continued support from its existing lenders.
The new funding will enable Virgin Voyages to continue executing its growth strategy and further strengthen its financial position as cruise demand continues to gain momentum. The company said July marked its highest booking month ever.
"We have created an incredible product that both our investors and consumers truly believe in, and this additional capital comes at a time when we're looking forward to exponential growth that will, in turn, help us achieve what we set out to accomplish," said Tom McAlpin, CEO of Virgin Voyages.
Virgin Voyages officially launched in August 2021 and currently operates two ships - Scarlet Lady traveling from the U.S. to the Caribbean, and Valiant Lady currently sailing in the Mediterranean.
The brand has already received third-party recognition such as Cruise Critic's "Best New Cruise Ship," inclusion on Condé Nast Traveler's 2022 Cruising "Hot List," and recently being named one of the top ocean cruise lines in Travel + Leisure's World's Best Awards.
"Virgin Voyages has successfully launched a new brand in the cruise industry and proven its appeal to both the traditional and non-traditional cruiser, allowing the brand to tap into new markets and re-imagine this travel category," said Ryan Cotton, a managing director at Bain Capital. "The expansion and enthusiastic commitment of the investor group supporting Virgin Voyages is a testament to the attractive fundamentals of this brand and what makes it so special."
Added Brendan Galloway, director in BlackRock Global Credit: "Despite the unprecedented challenges the cruise sector has faced in the past few years, the industry is exhibiting a powerful rebound. We are excited to invest in Virgin Voyages on behalf of our investors as we see a positive outlook and impressive growth on the horizon for the company,"
Virgin Voyages has seen exponential growth in bookings in the last six months and this year is set to see a strong return across the industry as cruising sails back toward pre-pandemic levels.
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