Advisers to Royal Caribbean Cruises and P&O Princess Cruises have achieved a first for a US-Europeam merger by using a dual listing structure that avoids US taxation pitfalls.

US tax authorities are inclined to view a dual listed company as a partnership, which makes the combined revenues of both companies vulnerable to US tax. Royal Carribbean's off-shore registration in Liberia was one of the key reasons why this $3bn (€2.6bn) merger has not been viewed as a partnership for US tax purposes.