Ghost Kitchens, a foodtech platform, has acquired Gujarat-based cloud kitchen company The Shy Tiger in an all-cash deal, as announced by Karan Tanna, CEO and founder of Ghost Kitchens.
Ghost Kitchens has acquired a portfolio of five brands, which includes KBOB’s, The Black Chimney, Punjab Di Gaddi, Pizza Never Lies, and Where’s My Burger.
Declining to disclose the value of the deal, Tanna stated, “The acquisition strengthens Ghost Kitchens’ presence in the Gujarat market and offers a platform for future expansion and growth. We also viewed this as a chance to amplify its brands and broaden our reach in the Gujarat market.”
Moving forward, Ghost Kitchens intends to merge its existing brands within The Shy Tiger’s infrastructure.
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“For the time being, we will only expand two of The Shy Tiger’s brands: KBOB’s & The Black Chimney, which account for roughly 85% of the company’s revenue.” Tanna stated that the other three brands would continue to operate as is.
In 2022, Ghost Kitchens acquired a technology company named WTF. This acquisition enabled the cloud kitchen company to develop its proprietary technology, enhancing its ability to manage the business comprehensively. This move aims to improve organic revenue generation, enhance customer experience, and increase profitability.
Furthermore, in February 2023, Ghost Kitchens acquired Speak Burgers, a brand by celebrity Chef Vicky Ratnani, with plans to expand the partnership to 25 offline retail stores within the next 18-24 months.
With a focus on expanding its company-owned and operated presence, launching celebrity brands, and entering retail stores, Ghost Kitchens targets an annualized revenue of around INR 200 crore in the next 2 years.
Currently, Starboy Pizzas is the top-performing cloud kitchen brand within Ghost Kitchens, accounting for 40% of the company’s revenue.
“In the coming 3-4 months, we will launch two celebrity brands, one with a well-known singer & rapper and the other with a South Indian actor. In addition, by August, we intend to open stores for our brands, Starboy Pizzas & Speak Burgers by Chef Vicky Ratnani, in Mumbai,” he said.
By the end of this fiscal year, Ghost Kitchens plans to open three outlets for each brand, and by the end of the following fiscal year, it aims to launch an additional 10 outlets for each brand.
“These outlets will be company-owned and operated, with a CAPEX of INR 60 lakh required to open each one,” he mentioned.
Ghost Kitchens concluded the fiscal year 23-24 with a revenue of INR 35 crore. For the current fiscal year, the target is set at INR 50 crore.
“Currently, our EBITDA stands at a negative 8 percent. Nonetheless, we are determined to achieve profitability by FY 26,” he said.
In February, Ghost Kitchens secured $5 million in a Series A funding round, comprising a mix of equity and debt. The round was spearheaded by GVFL Ltd, with the involvement of NB Ventures, LetsVenture, and Lead Angels. The round also included existing investors Yuj Ventures, Dholakia Ventures, & actor Rana Daggubati.
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“We aim to raise the next round of $10 million in the second quarter of 2025 to expand both our offline and online brand presence,” he stated.
Established in 2019, Ghost Kitchens manages over 15 company-owned and operated cloud kitchens in Mumbai and Ahmedabad, alongside operating 1,200 internet restaurants across 40 cities in India.
