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Swiggy Transfers Food Brand Ownership to Kouzina, Awarding Exclusive Scaling Rights

Updated: May 06, 2025 11:12

Image Source: Business Standard
Swiggy Ltd has made a strategic business transfer, transferring ownership of its food brands to Kouzina, a top cloud kitchen operator. The transaction awards Kouzina an exclusive right to scale Swiggy's food brands, bolstering its growth strategy in the quick-service restaurant (QSR) and cloud kitchen space. Here's a comprehensive breakdown:
 
Business Transfer Agreement
  • Swiggy has signed a formal deal to transfer ownership of its food brands to Kouzina.
  • The deal specifies intellectual property rights, operational control, and brand management.
Exclusive License for Kouzina
  • Kouzina obtains exclusive rights to scale and operate Swiggy's food brands.
  • The collaboration is intended to scale Swiggy's branded food offerings across various cities.
Impact on Swiggy's Business Model
  • Swiggy will concentrate on its core food delivery and Instamart operations, while Kouzina manages brand expansion.
  • The move is in sync with Swiggy's long-term vision to become leaner and more profitable.
Market Growth & Expansion Strategy
  • Kouzina will expand brand presence via strategic new cloud kitchen outlets.
  • The tie-up is likely to augment Swiggy's food brand exposure, using Kouzina's experience of scaling up QSR chains.
Industry Impact & Future Outlook
  • The partnership supports India's burgeoning cloud kitchen industry, which is likely to grow to $2 billion by 2027. Kloani.
  • Swiggy and Kouzina focus on enhancing their competitive advantage with high-quality, scalable food brands.
  • This strategic business transfer is a testament to Swiggy's focus on operational efficiency, while Kouzina leads in brand growth.
Sources: Swiggy Business Transfer Agreement, Swiggy Investor Relations, Swiggy Reports & Publications

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