Chipotle’s Cultivate Next venture fund invests in AI supply chain platform, restaurant

USA – Multinational restaurant chain Chipotle has announced a minority stake investment in Australian AI supply chain platform Lumachain and Brassica, a restaurant chain through its US$100 million Cultivate Next venture fund.

The financial details of the investments were not made public.

The AI supply chain platform offers a unique traceability solution for restaurants and other players in the food and beverage sector, tracking food from its point of origin to the customer, reducing waste, and enhancing efficiency.

Lumachain’s Computer Vision AI platform also helps in monitoring meal preparation operations to provide an additional layer of efficiency, improving quality and safety.

Brassica is a fast-casual restaurant chain from Columbus Ohio established in 2015, specializing in Eastern Mediterranean cuisine. Chipotle revealed the investment is intended to aid the chain expand into different markets across North America, all operated by the QSR chain.

The restaurant’s menu was curated by the founders and brothers Kevin and Darren Malhame, who also own the popular Northstar Café concept in Ohio.

This investment in particular aligns with Chipotle’s objective of operating 7,000 restaurants across North America.

Nate Lawton, Chipotle’s Chief Business Development Officer, said, “Investing in emerging culinary concepts that align with Chipotle’s commitment to using real, fresh ingredients and making craveable food daily is consistent with our mission to cultivate a better world.”

“Funding from Cultivate Next’s minority investment will help Brassica scale to open new locations and expand to new markets.”

The Cultivate Next venture fund was established in 2022, intended to broaden the chain’s tentacles in key innovation areas. The venture fund debuted at US$50 million in 2022 but doubled to US$100 million in February 2024.

The fund’s portfolio includes diverse ventures such as GreenField Robotics, Hyphen, Local Line, Meati Foods, and Zero Acre Farms.

The investments are part of Chipotle’s strategic plan of having forays in important operational facets like supply chain innovation, sustainability, and automation through the fund.

These alternative investments help complement the company’s strategic improvement efforts.

In September, Chipotle revealed Hyphen, a food service platform acquired via the fund, was used to develop an automated digital makeline.

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