Royal Caribbean Buys Rival Cruise Line

Royal Caribbean is buying money-losing Celebrity cruise lines in a $1.3 billion deal that gives Royal Caribbean five relatively new ships and an opportunity to expand.

The combined company, which will keep the two brand names, ranks second in the industry behind Miami’s Carnival Corp. and ahead of London-based P&O Cruises, parent of Princess.

In an industry punctuated by steady consolidation in recent years, Celebrity, with a fleet of five ships built since 1990, is “probably the last of the premium properties left,” said Peter McMullin, a cruise industry analyst with Southeast Research Partners.

Analysts said that with a broader selection of cruises, Royal Caribbean will get increased clout with travel agents and an opportunity to attract more passengers from outside North America.