Originally planned as a musical, and was to have been co-produced by Samuel Goldwyn which would have helped its distribution in the United States. When he pulled out, Alexander Korda (the executive behind London Films) sued him. The movie was finally distributed in the States by Carroll Pictures in black and white only.
The schooner called The Daydream in the film was really The Nellie Bywater, owned and operated by Richard England who plays the schooner captain in the film.