Cloud kitchen start-up Curefoods has acquired the rights to sell doughnut brand, Krispy Kreme, from Landmark Group, for an undisclosed sum.
The deal is a mix of cash and equity. As part of the deal, Landmark Hospitality Services Ltd. is also taking a stake in Curefoods India, according to Curefoods founder Ankit Nagori, who did not disclose further financial details.
Curefoods has signed a multi-year franchising agreement with Krispy Kreme Doughnut Corp. to expand the brand to over 350 locations across the country within five years. Currently, Krispy Kreme has over 50 stores.
With this acquisition, Krispy Kreme will be the first international brand to join Curefoods' portfolio, which includes brands like EatFit, Nomad Pizza, Cakezone, Sharief Bhai Biryani and Frozen Bottle.
"This partnership underscores our commitment to expanding into categories beyond our cloud kitchen ecosystem and investing in well-loved brands to enhance our presence in India's food market," Nagori said.
Previously, the operations of the US-based Krispy Kreme in South and West India regions were managed by Citymax Hotels India, a subsidiary of the Dubai-based Landmark Group. For the North India region, Bedrock Food Company Pvt. is a licenced franchisee of Krispy Kreme.
"We've had a very fruitful partnership with Krispy Kreme Doughnut Corporation and created a growing and profitable business," K A Madappa, president of Citymax Hotels Pvt. and business head of Krispy Kreme, said. "We're delighted to see it join the Curefoods portfolio where, we're certain, it will continue to grow significantly in the years to come."
Metta Capital acted as an adviser to Landmark Group for the transaction.
Established in 2020, Curefoods raised more than $200 million to date from Binny Bansal's Three State Ventures, Accel, Chiratae Ventures and Alteria Capital. Recently, the startup raised $40 million (about Rs 330 crore) in its Series D funding round.
The Bengaluru-based company reported a 53% jump in revenue to Rs 585 crore in the financial year 2024. Its net loss halved to Rs 173 crore due to decline in advertising costs. With over 500 cloud kitchens and physical stores catering to over 10 cuisines across 40 cities, Curefoods competes with the companies like Rebel Foods and EatClub (formerly Box8).
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