Ambassadors International plans to become a cruise-only company focusing solely on its Windstar Cruises brand, and it said it would put its noncruise assets up for sale.
The company acquired the three-vessel, small-ship line from Carnival Corp. in 2007 for $100 million.
"The board and management are confident in the strategy to focus all of our capital and efforts on Windstar Cruises and the small-ship luxury segment," Joe Ueberroth, the outgoing chairman of Ambassadors, said in a statement.
"Further, we believe that Windstar has the most potential upside for our shareholders, and a successful sale of our other businesses provides the company stability in a difficult economy."
Ambassadors, which said last year it would sell its river cruise assets that were operating under the Majestic America Line brand, now also plans to spin off its marina construction and marine operations business and its travel and events division.
The company also said that Art Rodney, an Ambassador board member and a former executive at Disney Cruise Line, Princess Cruises and Crystal Cruises, would replace Ueberroth as chairman. Ambassadors said it is searching for replacements for a new CEO and CFO.
When Ambassadors acquired Windstar, it had firmly entrenched itself in the American river cruise market, having swept up almost every North American player in the sector. The company has since said it regretted its decision to invest so heavily in U.S. river cruising.