TEXAS — Lone Star State food icon Luby’s, Inc. in September 2020 announced plans to sell its remaining assets, including all existing Luby’s and Fuddruckers restaurants.
Fans were already mourning the loss of Luby's, a cafeteria-style chain, but on Monday it was announced it has been saved.
Luby’s has been sold to a newly formed affiliate of entrepreneur Calvin Gin, a news release states.
According to the release, the new affiliate will be named Luby’s Restaurants Corporation following the close of the transaction. All 32 existing Texas Luby’s locations will be kept open.
It’s believed almost all of the current employees will be offered positions by the new owner and that the sale could provide Luby’s with roughly $28.7 million of value.
"I could not be more pleased than to see Calvin Gin, along with many of the existing management team, able to carry on the fine tradition of Luby's brand of food and service in Texas that dates back to 1947,” said Gerald Bodzy, chairman of the Luby’s board.
The sale does not include any of the Fuddruckers operations or any real estate owned by Luby’s. Luby’s has the option to sell its real estate to third parties. Luby’s has agreed to sell Fuddruckers to the North Carolina-based Black Titan Franchise Systems LLC.
"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. 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,” Gin said.