I don’t know how big a piece they actually had remaining but the PE firm kept him on-they initially had Tim as CEO and I expect that was part of the deal (I.e, they wanted him as CEO and in exchange he retained some ownership).
Again, this is all presumptions, but I think he got really tired trying to manage the increasingly insolvent business and also caught flack for not providing sufficient sexual harassment protection amongst theater staff (which is probably somewhat a byproduct of running a business that was kind of boot-strapped and informal from inception). Add Covid breaking theatrical and they’ve kind of been running a zombie business.
At least locally, it wasn’t food that made Alamo, it was that it was fun. It was the programming, the Rolling Roadshow, doing crazy stuff that probably didn’t make a lot of money but created a kinship amongst patrons that the owners and staff were huge nuts about curating an experience. That part didn’t get revived after Covid and I think THAT is what Tim lived for.