The Company Gains Access for its Brands to a
Major On-Demand Food Market While Importing Well-Known Brands from
Japan via TGAL to Taiwan
VANCOUVER, BC, Feb. 28, 2022 /CNW/ - Just Kitchen Holdings
Corp. ("JustKitchen" or the "Company") (TSXV: JK) (OTCQB:
JKHCF) (FRA: 68Z), an operator of ghost kitchens specializing
in the development of delivery-only food brands, is pleased to
announce that is has entered into an agreement to exchange the
virtual branding rights to certain delivery-only food brands
("Brand Swap Agreement") with TGAL Inc. ("TGAL").
Established in in Tokyo in 2013,
TGAL is the largest ghost kitchen operator and number one
distributor of food brands in Japan. TGAL has access to over one hundred
brands while JustKitchen's current portfolio is comprised of
approximately 30 proprietary menus and partner food brands.
The Company and TGAL will initially exchange one to two brands
each under the Brand Swap Agreement, which is expected by both
parties to be mutually beneficial in the two markets. The first
brand to be licensed by JustKitchen to TGAL is expected to be the
local "Chili House" hero brand in Taiwan, while TGAL is expected to provide the
Japanese curry brand "BistroRyu" to JustKitchen. Brand swaps are
being planned to occur on a location-by-location basis, with a
royalty-based mechanism applied to compensate each party on a low
risk, variable basis.
By way of the Brand Swap Agreement, the Company will gain access
to the large on-demand food market in Japan, which is aligned with its previously
announced international expansion plan to grow beyond Taiwan. Japanese food is growing in popularity
with JustKitchen's consumers as the number of Japanese restaurants
in Asia has increased by 13
percent over the last year, with interest in Japanese cuisine not
expected to decline in the near future.1 Conversely, the
Brand Swap Agreement will also enable man of JustKitchen's popular
proprietary brands to be experienced by consumers outside of
Taiwan and Hong Kong for the first time.
"JustKitchen is excited that the novel Brand Swap Agreement with
TGAL will not only be beneficial for both parties from a business
perspective, but also for consumers in Taiwan and Japan who value quality food and unique
experiences that are on the cutting edge of the delivery-only
culinary landscape," said Jason
Chen, Co-Founder and Chief Executive Officer of JustKitchen.
"I would like to commend the team at TGAL for coming together with
us at JustKitchen on this opportunity to bring new on-demand food
items to customers in multiple markets. We look forward to swapping
more brands with TGAL as our relationship strengthens over time,"
added Mr. Chen.
TGAL's mission is to create a new food culture across
Japan, throughout Asia, and eventually around the world. Led by
Mr. Kono, TGAL strives for the delivery of local meals to be
available everywhere. With the creation of an evolved Virtual
Restaurant plan, TGAL aims to improve the delivery food industry
and provide access to quality, well-known food brands around
Japan. By incorporating a variety
of affiliated platforms like UberEats and FoodPanda, TGAL is
striving to maximize sales and growth.
ABOUT JUSTKITCHEN
JustKitchen is primarily an operator of ghost kitchens
specializing in the development and marketing of proprietary and
franchised delivery-only food brands for customers. The Company
currently operates in Taiwan and
Hong Kong with plans to expand
operations to other Asian countries. JustKitchen uniquely utilizes
a hub-and-spoke operating model, which features advanced food
preparation taking place at larger hub kitchens and final meal
preparation taking place at smaller spoke kitchens located in areas
with higher population densities. The Company combines this
operating model with online and mobile application-based food
ordering fulfilled by third-party delivery companies, to minimize
capital investments and operating expenses and reach more customers
in underserved markets. The Company's other business, JustMarket,
is an e-commerce grocery delivery platform that allows customers to
purchase groceries for delivery or add select grocery items to
meals ordered through JustKitchen.
For more information about the Company, please visit
investors.justkitchen.com. JustKitchen's final prospectus,
financial statements and management's discussion and analysis,
among other documents, are all available on the Company's profile
page on SEDAR at www.sedar.com.
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this
release.
FORWARD-LOOKING STATEMENTS
This news release contains certain "forward-looking statements"
within the meaning of such statements under applicable securities
law. Forward-looking statements are frequently characterized by
words such as "anticipates", "plan", "continue", "expect",
"project", "intend", "believe", "anticipate", "estimate", "may",
"will", "potential", "proposed", "positioned" and other similar
words, or statements that certain events or conditions "may" or
"will" occur including but not limited to the Company's comments
regarding initially exchanging one to two brands each under the
Brand Swap Agreement including "Chili House" and "BistroRyu"; swaps
being planned to occur on a location-by-location basis with a
royalty-based mechanism applied to compensate each party on a low
risk, variable basis; and gaining access to the large on-demand
food market in Japan. These
statements are only predictions. Various assumptions were used in
drawing the conclusions or making the projections contained in the
forward-looking statements throughout this news release.
Forward-looking statements are based on the opinions and estimates
of management at the date the statements are made and are subject
to a variety of risks, including those risk factors identified in
the Company's prospectus dated March 26,
2021, and uncertainties and other factors that could cause
actual events or results to differ materially from those projected
in the forward-looking statements. The Company is under no
obligation, and expressly disclaims any intention or obligation, to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as
expressly required by applicable law.
Endnotes
- "Japanese Food Is More Popular Than Ever, Spurred by The Eat at
Home Trend", Saladplate, April 21,
2021,
https://www.saladplate.com/blog/strategic-insights-japanese-food-is-more-popular-than-ever-spurred-by-the-eat-at-home-trend/
SOURCE Just Kitchen Holdings Corp.
