Gabriel Budi Sutrisno · · 1 min readIndia’s Swiggy offloads cloud kitchen business
Photo credit: Swiggy
India-based Kitchens@ has acquired Swiggy’s cloud kitchen business through a share swap deal, according to a statement.
The deal, which became effective on March 1, is expected to boost the annual gross merchandise volume of Kitchens@ to US$65 million. The cloud kitchen firm also aims to hit US$100 million in revenue within the next six months.
Launched in 2017, Swiggy Access allows restaurant partners to establish kitchen spaces in neighborhoods, diversifying food options and shortening delivery times. The company saw its losses double in the financial year ending March 2022 compared to the previous year.
Following the deal, Kitchens@ will operate more than 700 kitchens across 52 locations in four Indian cities, said founder and CEO Junaiz Kizhakkayil.
Kitchens@ said it will focus on scaling operations across key demand areas in India through “clusters,” which refer to kitchen hubs that cater to specific micromarkets within cities.
See also: Making sense of Grab’s cloud kitchen shutdown in Indonesia
Editing by Thu Huong Le and Lorenzo Kyle Subido
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