Bengaluru, NFAPost: Getting overwhelming response to his earlier ventures Uber and Uber eats in India, Uber cofounder Travis Kalanick is gearing up for establishing an India entity for his delivery-only kitchens CloudKitchens, reports The Economic Times
The move is looked by Indian analysts for the global entrepreneur’s ambition to get into 1.3 billion market where the penetration in each business vertical is minimal. Travis Kalanick established City Storage System to run the business which runs delivery-only kitchens called CloudKitchens.
Besides engagement with real estate companies and restaurant chains, Travis Kalanick”s company is holding discussion even the current marketplace for food like Swiggy, Uber Eats and Zomato.
Sources privy to the development said former TexMex Cuisine India CEO Ashish Saxena is looking after the Mumbai operations for the company as the general manager. The company also plans to expand to other cities also, specifically Bengaluru, Delhi and Hyderabad.
As part of the global expansion plan, CloudKitchens raised $400 million investment from Saudi Arabia’s sovereign wealth fund. The company is valued around $5 billion during the funding.
Recently Travis Kalanick announced via his Tweet his plan to launch 10100 fund to pursue his passions, ideas, investment and big bets, with a focus on real estate. The company also announced its first investment in a company.
“I am excited to announce our first big bet in that area today: 10100 entered into an agreement to acquire controlling interest in CSS, City Storage Systems, a holding company focused on the development of distressed real estate assets particularly in the areas of parking, retail and industrial. There are over $10 trillion in these real estate assets that will need to be repurposed for the digital era the coming era,” tweets Travis Kalanick.
According to recent report, India’s food market size was worth $193 billion in 2016 and is expected to cross $540 billion by 2020. The food sector registering annual growth of 12%, which is almost double the growth rate of GDP. The production and delivery is yet to gain business structure and branding in India. So there is lots of opportunity for both Indian and global players in Indian market.
With the growing internet penetration and infrastructure developments, India now has become the seeding grounds for various food delivery startups, food retail chains and new brands are coming up across India.