Ghost Kitchens acquires Ahmedabad cloud kitchen Shy Tiger to strengthen presence in Gujarat
The acquisition comes on the back of a $5 million fundraise announced in February by Ghost Kitchens, aimed at nationwide expansion.
Cloud kitchens operator India has acquired Ahmedabad-based brand Shy Tiger for an undisclosed value to fortify its presence in Gujarat.
The development comes on the heels of the Karan Tanna-led foodtech firm bagging $5 million in funding from a clutch of investors led by Gujarat’s GVFL Limited. The funding is expected to enable nationwide expansion of Ghost Kitchen’s operations, according to the company.
Founded in 2018 by Milapsinh Jadeja, Shy Tiger owns five multi-brand cloud kitchens spread across Ahmedabad. According to a company statement, the brand has an annualised run rate of Rs 5 crore. The company’s portfolio includes brands like KBOB’s and The Black Chimney.
The acquisition marks Ghost Kitchens’ strategic move to bolster its presence in Gujarat by integrating its existing brands into Shy Tiger’s infrastructure.
Moreover, Shy Tiger’s brand affinity and current repeat ratio will enable Ghost Kitchens to strengthen operations in the state, particularly Ahmedabad, according to Karan Tanna, Founder and CEO of Ghost Kitchens.
Ghost Kitchens operates through over 15 company-owned and operated cloud kitchens in Mumbai and Ahmedabad, with over 1,200 internet restaurants across 40 cities in India.
The company aims to achieve annualised revenue of about Rs 200 crore in the next two years, focusing on growing its own company-owned and operated footprint, launching celebrity brands, and foraying into retail stores.
Speaking of the acquisition, Shy Tiger’s Jadeja said, “I have been closely observing Ghost Kitchens’ model and was specifically impressed by how they are leveraging technology to manage and optimise business. With their current team capabilities, process-driven approach and in-house tech stack, they will be able to take Shy Tiger’s portfolio brands to the pan-India level.”
Ghost Kitchens’s Tanna added, “KBOB’s and The Black Chimney are 15-year-old brands in Ahmedabad. We saw this as an opportunity to scale these brands and expand our presence in the Ahmedabad and Gujarat markets. Moreover, brand affinity and customer repeat ratio give us a strong position to build up a business. Apart from plugging our brands in their existing kitchens, we could improve the unit economics and get a substantial yield from each kitchen and the entire state.”
Edited by Suman Singh