JustKitchen to Go Public on TSX Venture Exchange

JustKitchen to Begin Trading on TSX Venture Exchange

JustKitchen, a startup specializing in cloud kitchens, is scheduled to commence trading on the TSX Venture Exchange on Thursday morning. The company is undertaking a direct listing of its common shares, following a successful raise of $8 million based on a $30 million valuation.

First Cloud Kitchen IPO in North America

The company asserts that this listing positions it as potentially the first cloud kitchen operation to become publicly traded in North America. Although JustKitchen initiated operations last year in Taiwan, its legal incorporation is in Canada.

Future expansion plans encompass territories such as Hong Kong, Singapore, the Philippines, and the United States. The TSX Venture serves as a platform within the Toronto Stock Exchange specifically designed for emerging companies and startups.

Rationale for Direct Listing

“This approach provides a streamlined entry into the market,” explained co-founder and CEO Jason Chen in an interview with TechCrunch. “Given the nascent stage of the ghost kitchen industry and its significant growth potential, we prioritized a rapid market entry.”

The initial public offering included participation from existing investor SparkLabs Taipei, alongside contributions from investment institutions and individual investors located in Toronto.

Shareholder Structure

Jason Chen indicated that over 50% of JustKitchen’s currently issued and outstanding shares are held by its executive team, board members, and employees.

Canadian Connections

A key factor influencing the decision to list on the TSX Venture Exchange is Jason Chen’s prior experience in Canadian capital markets. He previously worked as an investment banker before relocating to Taiwan to establish the startup.

Furthermore, several members of JustKitchen’s board possess active involvement in the Canadian capital markets, notably Darren Devine, who serves on the TSX Venture Exchange’s Local Advisory Committee.

Future Listing Plans

These connections facilitated a natural alignment with the TSX Venture board, according to Jason Chen. The exchange offers a pathway for automatic transition to the main TSX board upon meeting specific criteria, including market capitalization and net profitability.

Additionally, the platform simplifies the process of pursuing dual listings in international markets. Just Kitchen is concurrently preparing for listings on the OTCQB exchange in the U.S. and the Frankfurt Stock Exchange in Germany.