Restaurant tech venture Dragontail Systems (ASX:DTS) is being acquired by the US parent company behind KFC and Pizza Hut, Yum Brands, in a deal worth $93.5 million.
Domino’s has been Dragontail’s leading customer in recent years. Its machine learning cameras monitor pizza quality and is the technology behind Domino’s Pizza Checker, as well as the popular customer order tracker. How long that deal lasts if Yum’s takeover is successful remains to be seen.
NYSE-listed Yum has been using Dragontail’s tech platform in nearly 1,500 restaurants in more than 10 countries.
Dragontail’s Algo platform has an algorithm that optimises and manages fast food preparation process from order to delivery. It automates and streamlines the kitchen flow using machine learning and AI.
Yum’s acquisition offer is at A$0.23.5 cents a share, up around a third on Wednesday’s closing price of $0.18 cents.