Carnival (CCL) Stock: Why The Price Went Up

By Amit Chowdhry ● Feb 1, 2022
  • The stock price of Carnival Corp (NYSE: CCL) increased by 4.4% in the most recent trading session. This is why it happened.

The stock price of Carnival Corp (NYSE: CCL) increased by 4.4% in the most recent trading session. Investors responded positively to an announcement from the company.

On June 28, 2021, Carnival Corporation & plc announced that the company had filed a prospectus supplement with the SEC, under which it may offer and sell shares of its common stock through its agent BofA Securities, having an aggregate offering price of up to $500 million, from time to time through an “at-the-market” equity offering program. As described in the previous announcement, Carnival plans to use the net proceeds from the offering to purchase an equivalent number of Carnival plc ordinary shares (the share purchase program) and use the remaining net proceeds (if any) from the offering for general corporate purposes.

The previous announcement stated that the share purchase program was expected to end no later than January 31, 2022. Today, Carnival Corporation & plc announce an extension of the Share Purchase Program until April 30, 2022, under the same terms.

All of the Carnival ordinary shares purchased under the share purchase program will be held by Carnival Corporation in accordance with the terms of the articles of association of Carnival plc and will carry no voting rights for so long as they are held by Carnival Corporation or its subsidiaries. And none of the purchased ordinary shares of Carnival plc will be canceled or held as treasury shares.

PJT Partners continues serving as independent financial advisor to Carnival Corporation and Carnival plc.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.