Student tour company WorldStrides said it engaged financial adviser Alvarez & Marsal to help raise financing as the travel industry continues to face headwinds, WSJ Pro Bankruptcy reported. Worldstrides parent company Lakeland Tours LLC, which owns the largest accredited travel program in the U.S., has faced a slow recovery since completing a bankruptcy restructuring in September as some restrictions on international travel remain in place. The company provided programs to more than 550,000 students annually to over 100 countries before the pandemic, which devastated the business, forcing tours to be cancelled and customer deposits refunded. The bankruptcy process shaved $105 million in debt from Worldstrides, leaving it owing $663 million in loans upon its exit from chapter 11. Europe, a key market for WorldStrides, is still largely closed to American travelers, as are many other regions worldwide. Washington D.C., a popular domestic destination, has also seen declining interest from student tour groups following the Capitol Hill riot, which led to the installation of protective fencing and a heightened security environment. To weather the slowdown, Worldstrides has been seeking financing until the travel industry recovers further. A Worldstrides spokesman said Thursday the company had engaged Alvarez & Marsal to help raise a $40 million revolving credit line.
