Virgin Voyages unveils $550 million in new capital raise

   August 17, 2022 ,   Cruise Industry

Virgin Voyages announced it had closed on USD 550 million (~GBP 455M) in new capital raise in order to support its growth.

The new funding was led by funds and accounts managed by BlackRock. It includes new external financing and additional capital from existing investors like Bain Capital Private Equity and Virgin Group.

The company has also received additional support from its existing lenders. The funding will enable Virgin Voyages to continue its growth strategy and strengthen its financial position.

Virgin Voyages launched in August 2021 and now operates two boats - Scarlet Lady (Caribbean out of the USA) and Valiant Lady (Europe/Mediterranean). 

Scarlet Lady cruise ship

Tom McAlpin (Virgin Voyages' CEO) said they had created an incredible product that both their investors and consumers truly believed in, and the additional capital came at a time when they were looking forward to exponential growth that would, in turn, help them achieve what they had set out to accomplish.

According to Ryan Cotton (Bain Capital's Managing Director), Virgin had "successfully launched a new brand in the cruise industry and proven its appeal to both the traditional and non-traditional cruiser, allowing the brand to tap into new markets and re-imagine this travel category.” 

Brendan Galloway (BlackRock Global Credit's Director) said that despite the unprecedented challenges the cruise sector had faced in the past few years, the industry was exhibiting a powerful rebound.

"We are excited to invest in Virgin Voyages on behalf of our investors as we see a positive outlook and impressive growth on the horizon for the company."