Virgin to launch cruise operation?Posted: March 3, 2014
Sky News has reported that the money would be used to buy ships in a bid to rival some of the cruise industry’s biggest names including Carnival and Royal Caribbean.
The virgin Group has already appointed the US-based corporate advisory firm Allen & Co to oversea the development of the venture which is expected to be named Virgin Cruises.
While the project is still in its early days the company has already had detailed talks with the banks about raising the cash to buy the first vessels.
A further $700 of equity would be raised by selling stakes in Virgin Cruises to outside investors.
Virgin boss Sir Richard Branson is believed to have been eyeing the cruise market for some time.
The headquarters for Virgin Cruises would be based in the US to take advantage of the country’s thriving cruise market.
Sky News added Virgin has also been in discussion with Allen & Co regarding setting up a new chain o four-star city-centre hotels.
The first will open in Chicago this autumn with others to follow in US cities served by the Virgin flights.
Sourced by TTG Digital