Luby’s took a major step in its liquidation with an agreement last week to sell 26 namesake cafeteria sites for $88 million in cash to Store Capital Acquisitions, a landlord that specializes in sale-leaseback deals.
In a separate filing, Luby’s disclosed that it is also unwinding its management team with the outsourcing of the chief financial officer’s duties to a third party, Winthrop Capital Advisors. The reassignment coincides with the resignation of CFO Steven Goodweather.
Eric Montague, Winthrop’s CFO, will take on the additional duties of Luby’s interim CFO for a monthly fee of $10,000, according to the SEC filing
It notes that Goodweather will be entitled to a bonus of $12,500 and 8,000 shares of restricted stock if Luby’s completes the sale of its foodservice management business, Luby’s Culinary Contract Services, within 180 days.
The operator of noncommercial feeding facilities is the last remaining business in Luby’s portfolio. On Aug. 26, the company sold its brand name, franchising rights and 35 cafeteria operations to Cal Acquisition Corp. Cal Acquisitions and a related company, Cal Operating Corp., are the holdings of Chicago technology entrepreneur Calvin Gin.
The real estate underlying the restaurants was not part of that deal.
Cal was identified in the most recent SEC filing as the operator of the properties sold to Store Capital. Cal has also assumed management of restaurants that Luby’s previously operated.
Luby’s sold its Fuddrucker’s fast-casual business to a franchisee, Black Titan Franchise Associates, for a seller's note worth $18.5 million.
The company still has several dozen restaurant sites in its possession, according to its website, with a contract already signed to sell seven more locations.
The principals of Store Capital include sale-leaseback veteran Chris Volk.
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