The restaurant listing and food delivery company Zomato has invested an undisclosed amount of money in a Bangalore-based cloud kitchen company Loyal Hospitality. Loyal Hospitality and Zomato, both confirmed the development to MediaNama. According to various media reports, amount of the deal is $15 million. Meanwhile, Zomato is shutting down its own cloud kitchen operations under Zomato Infrastructure Services (ZIS) due to expansion concerns. Confirming both the development, Zomato's spokesperson Naina Sahni said that, We have made a small investment for a minority stake in Loyal Hospitality. The purpose of ZIS was to bridge the supply and demand gaps in various micro localities across the country. We only had one pilot kitchen in Dwarka, and we are in the process of winding it down. We learnt that experienced people from the industry like Junaiz should be running operations like this. Hence we decided to back his ambitions with some capital and a lot of experience and data from what we do best - generating consumer demand for great restaurant brands. At the core, we want the restaurant industry in the country to grow as that directly helps us grow. We will do whatever we can to enable the growth of the restaurant industry and provide better food to more people. Loyal Hospitality was founded in 2014 by Junaiz K, who was earlier associated with Empire Group of Hotels in Bangalore for 25 years. The company provides ready-to-occupy Kitchen to the restaurants along with other operations solutions. These kitchens are equipped with the required…
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