In the past, Luby’s Inc. also owned the Fuddruckers, Koo Koo Roo, and Cheeseburger in Paradise restaurant chains. As of April 2022 there are 47 locations in Texas. Its headquarters is in the Near Northwest district of Houston, Texas.
Houston-based Luby’s Inc., which also owns Fuddruckers, which boasts the “world’s greatest hamburgers,” announced plans to liquidate and dissolve the company’s “businesses, operations, and real estate” and institute an “orderly wind-down of any remaining operations,” the company announced in a press release on Tuesday.
HOUSTON, Dec. 16, 2020 /PRNewswire/ — Luby’s, Inc. (“Luby’s” or the “Company”) (NYSE: LUB), today announced that the Company has entered into an agreement to franchise 13 of its currently Company owned Fuddruckers stores to Black Titan Holdings, LLC, an affiliate of successful food service entrepreneur Nicholas M. Perkins.
The company headquarters is in Houston, Texas. On September 8, 2020, Fuddruckers owner Luby’s, Inc. announced they plan to liquidate existing assets, including Fuddruckers’ assets, distributing the proceeds to investors after the proposed sale of the chains.
Dive Brief: Luby’s, Inc., has agreed to franchise 13 of its 24 currently company-owned Fuddruckers stores to Black Titan Holdings, which is an affiliate of foodservice entrepreneur Nicholas M. Perkins, according to a press release. Terms of the transactions were not disclosed.
Luby’s reported a loss of $412,000 in November for its company-owned Fuddruckers segment, down from a profit of $527,000 in March. Fuddruckers’ assets were valued at $26.5 million, including $6.9 million attributed to the brand name as of August last year. Fuddruckers franchise operations were valued at another $9 million.
Following all these transactions, Luby’s, Inc. will have only five remaining stand-alone Company owned Fuddruckers stores operating as well as four combo Fuddruckers operating with Luby’s Cafeterias. About Luby’s
The parent of Fuddruckers’ intended buyer, newly formed Black Titan Franchise Systems, already owns and operates 13 franchised restaurants and plans to acquire two more. Both Black Titan entities are controlled by Nicholas Perkins, who also has a foodservice management company, Washington, D.C.-based Perkins Management Systems.
The Fuddruckers concept is to offer large hamburgers in which the meat is ground on-site and buns are baked on the premises. As of 2015, Fuddruckers had 77 company-operated restaurants and 111 franchises across the United States and around the world. The company headquarters is in Houston, Texas.
As of September 11, 2020, there were 80 Luby’s and Fuddruckers still in operation. 99% of Luby’s stockholders voted for dissolution in November 2020. Luby’s will close all locations by August 2021.
Currently, the headquarters is the near northwest district of Houston, Texas. It has been there since the acquisition by Luby’s in 2010. From 2005 to 2010, Fuddruckers was headquartered in southwest Austin, Texas; before that, in One Corporate Place in Danvers, Massachusetts; before that, in Beverly, Massachusetts.
Who started the Fuddruckers?
Fuddruckers was founded as Freddie Fuddruckers in 1979 by Philip J. Romano in San Antonio, Texas, in a location converted to a restaurant from an old bank. He started the chain because he thought that “the world needed a better hamburger.”.
The 2008 financial crisis hit the restaurant industry hard, including Fuddruckers. On April 22, 2010, the parent of Fuddruckers, Austin-based Magic Brands LLC, announced plans to file for Chapter 11 bankruptcy protection. It originally planned to sell most of its assets, including Fuddruckers and the Koo Koo Roo brand eateries, to the Tavistock Group for $40 million. On the same day, the firm announced that 24 Fuddruckers restaurants would be closed, several of them in the metro Washington, D.C. area.
The chain offered the Original Fudds Burger in various sizes, from 1/3 pound, to 1/2 pound, to 2/3 pound, to 1 pound. The primary focus is on hamburgers but other options are offered including chicken, fish and exotic burgers (buffalo, elk, ostrich, and wild boar).
Fuddruckers is an American fast casual, franchised restaurant chain that specializes in hamburgers. The Fuddruckers concept is to offer large hamburgers in which the meat is ground on-site and buns are baked on the premises. As of 2019, Fuddruckers had 49 company-operated restaurants and 107 franchises across the United States and around the world.
The burger was 18.5 inches wide and 8 inches tall.
As of September 11, 2020, there were 80 Luby’s and Fuddruckers still in operation.
The company headquarters is in Houston, Texas. On September 8, 2020, Fuddruckers owner Luby’s, Inc. announced they plan to liquidate existing assets, including Fuddruckers’ assets, distributing the proceeds to investors after the proposed sale of the chains.
Who bought Fuddruckers in 2021?
By Peter Romeo on Jun. 17, 2021. Luby’s has agreed to sell its 92-unit Fuddruckers fast-casual brand to an affiliate of the chain’s largest franchisee, Black Titan Enterprises, in a buyout deal with a potential value of $18.5 million. The Back Titan affiliate has also agreed to buy the land underneath what are now company-operated Fuddruckers units.
Fuddruckers was a pioneer of fast-casual dining. It was created by Phil Romano, also the father of Romano’s Macaroni Grill and Eatzi’s, as a place where consumers could get a better burger than what they would find at a typical fast-food restaurant.
Luby’s said it expects the deal to close within 90 days.
The sale of the restaurant chain is the latest step in Luby’s liquidation, which was announced in September after the cafeteria operator failed to find a buyer. Luby’s main business is its namesake cafeterias, including four that are paired with a Fuddruckers.
Who owns the Fuddruckers franchise?
The Company is affiliated with Nicholas M. Perkins and Black Titan Holdings, LLC which owns and operates 13 Fuddruckers franchises with plans to acquire two additional Fuddruckers locations. Mr. Perkins also owns and operates other food industry related companies.
This press release contains statements that are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release, other than statements of historical fact, are “forward-looking statements” for purposes of these provisions, including the statements regarding sales of assets, effects of the Company’s Liquidation and Dissolution Plan (the “Plan”), expected value or proceeds attributable to the sale of assets, and expected proceeds to be distributed to stockholders or the timing thereof.
Luby’s, Inc. (NYSE: LUB) previously announced its plan of liquidation and dissolution, which was approved by its shareholders on November 17, 2020. Besides today’s announcement of the agreement to sell the Fuddruckers business, Luby’s is actively seeking buyers for its Luby’s Cafeterias restaurant business segment and Luby’s Culinary Contract …
The Company does not currently plan to adjust the estimated liquidation value of the Company as a result of this transaction. This amount is in addition to the value the Company will realize from the sale of Company owned real estate at a number of Fuddruckers Company owned stores.
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