Yum! Brands, the operator of KFC, Pizza Hut, Taco Bell, has swallowed Australian kitchen order management and delivery technology Dragontail Systems for $93.5 million.
Dragontail has quickly established a following among quick service restaurant (QSR) chains, counting the likes of Domino’s and Pizza Hut as customers.
If approved, Yum! Brands said it intended to take Dragontail’s AI technology and “scale” it globally across its operations.
“With Dragontail, we expect to tap into the power of AI to accelerate and further enhance our delivery technology capabilities, especially at Pizza Hut, and optimize the end-to-end food preparation process,” Yum! Brands chief financial officer Chris Turner said.
“Dragontail’s platform is currently deployed across nearly 1500 Pizza Hut restaurants in over 10 countries.
“If the scheme is successfully implemented, Yum! Brands intends to scale and offer Dragontail’s platform to its brands around the world over time.”
In an ASX filing, Dragontail Systems said that “Yum! Brands has agreed to pay $93.5 million in cash for all of the issued share capital in Dragontail (on a fully diluted basis).”
The buyout is subject to Australian Federal Court and other regulatory approvals.
The parties said they hoped the buyout would be completed by the end of the third quarter of 2021.