Luby’s Cafeteria Is Soon To Be A Memory
Luby’s, a popular Texas based cafeteria chain has announced plans to liquidate their businesses and distribute the money to their existing investors.
The liquidation also includes Fuddruckers, real estate and their culinary contract services.
The Houston-based company originally had said back in June that it was looking to sell its restaurants and assets. At the end of March, they halted operations at all of their locations.
Luby’s said it values its property and equipment at $104 million but faces long term debt and obligations. The company projects that it would receive between $92 million and $123 million in proceeds from its liquidation operations.
Luby’s president and CEO Christopher Pappas said in a statement: "We believe that moving forward with a plan of liquidation will maximize value for our stockholders, while also preserving the flexibility to pursue a sale of the company should a compelling offer that delivers superior value be made. The plan also continues to provide for the potential to place the restaurant operations with well-capitalized owners moving forward."
Many of us grew up dining at Luby’s which was founded in 1947.
For more information, click here.