Celestyal Cruises, specialists in cruising to the Greek Islands and the Eastern Mediterranean, and its parent company, Louis plc, have announced a major new investor.
Described as definitive strategic investment agreement with funds managed by Searchlight Capital Partners, L.P. (“Searchlight”), a leading global private investment firm, Celestyal Cruises says that as part of the partnership, Searchlight will make an investment into a new holding company, Celestyal Holdings, which will enable Celestyal Cruises to amplify its brand globally, build upon its success to date and expand its operational footprint whilst growing and renewing its fleet.
Celestyal Cruises says that it will continue to operate its fleet of two ships from its offices in Piraeus, Greece with its current global management team leading the business and the Louis Group continuing as a shareholder in the new holding company.
According to Seatrade, under the terms of the agreement, Searchlight will provide an initial tranche of €30m senior debt financing to Celestyal Cruises at closing and a €10m revolving credit facility, with the agreement providing for additional funding of up to €30m, subject to meeting certain conditions, to support the development plans of the company, including fleet renewal.
“The cruise industry has shown a tremendous amount of resilience coming out of the pandemic, and as Greece’s major, home-porting cruise line, Celestyal has played a pivotal role in the country’s strong tourism recovery,” said Searchlight Partner, Ralf Ackermann, adding, “We are excited to support Chris and his management team and to work with the Louis Group to be involved in the next chapter of Celestyal’s growth”, and “We believe this partnership will help to reinforce the company’s position as the leading cruise operator in the Eastern Mediterranean region and enhance its uniquely authentic experiences and operating footprint.”
“Celestyal Cruises has always been a strong and robust regional expert, and a key component of our tourism portfolio,” said Costakis Loizou, Executive Chairman of the Louis Group, adding, “With the added financial resources of Searchlight, Celestyal is destined for an even brighter future, and we look forward to being part of realising Celestyal’s full potential.”
Louis plc was advised by financial advisors, Houlihan Lokey, London; legal advisors, Hill Dickinson, London, and Chryses Demetriades, Cyprus; and tax advisors, PricewaterhouseCoopers, Cyprus.
Searchlight was advised by legal advisors, Willkie Farr & Gallagher LLP; financial advisors, Alvares & Marsal; tax advisors, KPMG, insurance advisors, Lockton; and technical advisors Renaissance Shipbroking.
Edited by: John Alwyn-Jones, Cruise Editor
