Carnival is reported by US press to be in preliminary discussions to sell its luxury Seabourn cruise brand to the Saudi sovereign wealth fund, also known as the Public Investment Fund, although talks between the parties are still ongoing and no further details have been confirmed by Carnival.
The deal would give Carnival access to more capital. Its shares have lost over 40% in the past three months, according to CNBC.
The news of a possible sale comes less than a week after Carnival raised over US$1bn (R15,76bn) in the debt market.
The Saudi sovereign wealth fund currently has an 8,2% stake in Carnival. Saudi Arabia appears to have plans for big tourism projects, having earmarked $1 trillion for the travel and tourism sector up until 2030. Cruise Saudi is a publicly-funded venture with the aim of developing ports, destinations and excursions to attract more cruise ships to the Red Sea and Persian Gulf.
