In one of the most dramatic changes in the cruise industry in years, Silversea Cruises is becoming part of the Royal Caribbean family. In a $2-billion deal, Royal Caribbean Cruises Ltd. is acquiring a 66.7 per cent stake in Silversea.
The deal gives Royal Caribbean a top line luxury brand as well as a position in the fast-growing expedition cruising market.
“We can offer a more complete portfolio of brands,” RCCL chairman and CEO Richard Fain said after signing the deal with Silversea chairman Manfredi Lefebvre d’Ovidio, whose family controlled the line based in Monaco.
Like Celebrity Cruises and premium line Azamara Club Cruises which are also owned by RCCL, Silversea will operate as an independent brand, Fain said. But the deal gives Silversea access to the public company’s broad access to capital for expansion as well as its distribution system and links to travel agents, he added.
Silversea has five luxury ships, with another on order for 2020, and four expedition vessels. In addition to the brands it owns outright, RCCL has joint ventures to operate two brands in Europe — TUI Cruises and Pullmantur.
“I am very excited about the growth opportunity this partnership with Royal Caribbean gives to Silversea and look forward to continue to steer the strategy of the leader in ultra-luxury cruising and luxury expedition” Lefebvre said. “RCCL’s financial and operational strength will allow us to grow at an unprecedented pace and will allow us to capture the burgeoning demand for ultra-luxury and expedition cruising.”
RCCL’s two largest competitors, Carnival Corp. and Norwegian Cruise Line Holdings, already have luxury brands, owning Seabourn Cruises and Regent Seven Seas Cruises, respectively.
