Sigel’s Beverages, a 113-year-old Dallas liquor chain, has been sold to an Austin company
Sigel’s Beverages has been sold to Austin-based Twin Liquors, according to bankruptcy court documents.
Dallas-based Sigel’s has been operating under the protection of the bankruptcy court since October 2016. The sale to Twin Liquors was approved by the U.S. Bankruptcy Court for the Northern District of Texas in April, but the sale was completed Friday ending the bankruptcy, said Sigel’s attorney, Melanie Pearce Goolsby.
Dallas-based Goody Goody also bid on Sigel’s at the eleventh hour, but Twin Liquor responded with a higher offer, Goolsby said. That action ended up raising the price, but she wasn’t able to disclose the terms of the sale.
Sigel’s officials declined to comment, deferring to the new owners. Twin Liquors could not be immediately reached for comment.
Sigel’s has eight stores in the Dallas area. During the bankruptcy the company closed two stores in Addison and Richardson, where it still operates one store.
Both are old Texas liquor store chains. Twin Liquors was founded in downtown Austin in 1937 and has been in the Jabour family since. It also has roots in the pre-prohibition era when the family ran a mercantile store in the late 1800s, according to Twin Liquors’ website.
The Sigel family founded the chain in 1905 and later it was owned by the Thompsons of 7-Eleven fame, who sold it to Tony Bandiera in 1995.
Twin Liquors is the larger of the two chains. It has 25 stores in Austin and a total of 89 locations in Central Texas.
Sigel’s entered bankruptcy with expensive leases that predated the entry of Houston-based Spec’s Wine, Spirits & Finer Foods and Maryland-based Total Wine & More to the Dallas-Fort Worth market. Spec’s is the largest liquor store retailer in the state. Total Wine is trying to be the first national liquor store and has quietly led campaigns to change local liquor laws in many municipalities where it’s wanted to open stores.
Competition also accelerated after several municipal elections turned dry areas wet. Supermarkets and convenience stores that couldn’t sell beer and wine immediately added coolers and took another big slice of the business from package liquor stores that had been strategically located along wet-dry lines. Sigel’s made the argument in the bankruptcy court that its store leases no longer held the value they once did.