Focus Dynamics, Brahim’s tie-up to establish digital kitchen project

This network makes use of existing restaurants throughout the Klang Valley which are not operating at capacity to reach out with digital menus

by S BIRRUNTHA / graphic by MZUKRI MOHAMAD

FOCUS Dynamics Group Bhd’s wholly owned subsidiary, Focus Dynamics Centre Sdn Bhd, has entered into a head of agreement with in-flight catering firm Brahim’s Holdings Bhd to set up the digital kitchen project which operates on several vertices to service the on-demand food and beverage (F&B) industry.

Focus Dynamics said this venture is timely due to the reimplementation of the Conditional Movement Control Order (CMCO) and hopes to accelerate the launch of Focus’ Cloud Kitchen, as well as to modernise Brahim’s food catering business.

It added that the project had been formulated by both Focus Dynamics and Brahim’s, each providing their expertise and resources to set up a joint task force to commence operations immediately.

“Focus Dynamics will use a portion of the central kitchen to build and house its shadow kitchen network services, where it will prepare ready-to-eat meals and develop food supply boxes.

“This network makes use of existing restaurants throughout the Klang Valley which are not operating at capacity to act as a fulfilment arm for Focus Dynamics, to reach out with its digital menus,” it said in a statement yesterday.

Brahim’s will convert a separate portion of its 59,000 sq m central kitchen to set up a cloud kitchen base together with Focus Dynamics to attract entrepreneurs and small businesses who wish to get started in the digital F&B business.

It will also revamp and utilise its existing infrastructure and logistics to provide digital food trucks as an offshoot of the cloud kitchen model, with remodelled food trucks equipped with digital menus and advertising signage being the focus to launch next year.

Additionally, Focus Dynamics said the project sees both companies focusing on the new paradigm for F&B business in an offline-to-online push.

It added that with the Covid-19 infections rising daily, the expectation is that the CMCO will be extended or even enhanced, resulting in greater demand for e-commerce-based F&B business.

Focus Dynamics ED Benson Tay Ben Seng said the collaboration with Brahim’s provides a solid foundation to potentially cater up to 60,000 meals per day, through various silos of operations.

He added that the group’s long-term plan is to automate the entire chain, capturing the revenue and margins for all aspects of the digital F&B industry for the Klang Valley area.

“With a kitchen of this size and collaboration with Brahim’s, which already has an existing supply chain network, this grand plan is one step closer to being achieved,” he noted.

Previously, Focus Dynamics Centre had acquired shares representing a 12.19% equity interest in Brahim’s through a direct business transaction for RM7.34 million. The 28.8 million ordinary shares were purchased on Oct 7 at 25.5 sen per share.

The group said the acquisition is in line with its strategy to increase the portfolio of F&B assets and revamp traditional business models to infuse them with digital technology, modern concepts and enhancing user experience.

Focus Dynamics was listed on the MSCI global small-cap indexes yesterday as it aims to revolutionise the F&B industry by adopting and embracing digital technologies in its businesses.

In a separate statement, the group said it will have a structured platform for food operators to cook, package, deliver and market their products on an entirely digitised and automated platform.

It added that this expands the industry as a whole, especially for F&B business owners out there, thus creating immense opportunities for Malaysians to grow their income stream by leveraging online methods.

As of yesterday, Focus Dynamics shares closed 1.27% or one sen higher to 80 sen, valuing the company at RM4.91 billion.