Princess Yachts in the U.K. is in talks with its lenders and shareholders for a multi-million-pound cash injection to help it meet growing demand. The Plymouth motoryacht builder wants to finish raising capital by the end of the month, according to Sky News.
The company is working with advisers at Alvarez & Marsal on talks about new financing arrangements. Princess is majority-owned by L Catterton, one of the world's largest private equity backers of luxury businesses. L Catterton was formed in 2016 from a partnership involving LVMH, owner of multiple luxury brands. It is owned by Bernard Arnault, who ranks among the world's wealthiest people.
The Plymouth Herald reported that Princess has seen its profits increase by 75 percent over the last three years, and it currently has an order book of almost $1 billion. It launched nine models last year, and plans to introduce another five at the Düsseldorf boat show this week. The paper reported that 90 percent of Princess production slots are sold out through this year, with 40 percent sold out for 2021.