HOUSTON – Last year, Texans were dealt a devastating blow when Houston-based Luby’s Inc. said it was liquidating all its assets with a plan to sell the company and divide the money amongst shareholders.
Customers feared it would mean saying goodbye to the cafeteria-style restaurant that had fed Texans for more than 70 years.
However, people can breathe easy now. The company announced Monday that it signed an agreement to sell Luby’s Cafeteria restaurant business to a newly formed affiliate of Calvin Gin.
“We are so pleased to be able to acquire the operation of these Luby’s Cafeteria stores, one of the iconic brands in the Texas restaurant market,” said Gin, CEO of the purchaser. “This transaction will allow us to continue serving the many loyal Luby’s customers at these locations and to provide long-term employment opportunities for the many associates currently at these locations.”
According to the news release, the sale is another step in the previously announced plan to sell Luby’s assets, pay its liabilities, and return the remaining cash to shareholders.
The acquisition of the Luby’s cafeterias business will not include any of the real estate owned by Luby’s, or any of the company’s Fuddruckers operations or the Company’s Culinary Contract Service business, with the exception of the joint Luby’s/Fuddruckers location in Webster.