The purchase will be made for approximately $11 million in cash. The transaction is expected to close on or before Dec. 5.
Luby's will operate 23 Cheeseburger in Paradise locations in 14 states.
Cheeseburger in Paradise is a full-service island-themed restaurant and bar, developed 10 years ago in collaboration with legendary entertainer Jimmy Buffett, based on one of his most popular songs.
The restaurants also feature a unique tropical-themed island bar with many televisions and tasty “boat drinks”.
Chris Pappas, president and CEO of Luby’s Inc., remarked, “Cheeseburger in Paradise will nicely complement our core family-friendly brands, Luby's Cafeterias and Fuddruckers, with a casual dining restaurant and bar offering.
A number of their 23 locations are located in high traffic areas, many near successful malls and tourist attractions.
With the addition of Cheeseburger in Paradise, we will further enhance our competiveness and increase the company's opportunities for revenue growth in the future.”
Peter Tropoli, chief operating officer, added, “With our corporate support and resources, we hope to further enhance store-level operations as well as unit economics, and we plan to benefit from synergies among our group of brands.
From a guest and employee perspective, the transition should be seamless.”
