Travis Kalanick’s CloudKitchens has delayed plans to take its Middle East business public, according to a report by Bloomberg citing people familiar with the matter.
The company had been preparing the regional unit for a potential initial public offering but is now reassessing timing amid shifting market conditions and investor sentiment. The delay comes as IPO activity across the Gulf cools, with investors becoming more selective on valuation, profitability, and execution risk.
CloudKitchens operates a global network of delivery focused commercial kitchens, commonly referred to as ghost kitchens, providing infrastructure to restaurant brands and food delivery operators without traditional dine in locations.
Saudi Arabia has emerged as a strategic growth market for the company, supported by rising food delivery demand and the kingdom’s efforts to attract global technology platforms under Vision 2030.
As previously reported by TechScoop, CloudKitchens has explored a potential $2.5 billion dual IPO backed by Saudi Arabia’s Public Investment Fund, positioning the Middle East as a key pillar of its public markets strategy.
According to TechScoop sources, the company had also been in discussions with major Saudi financial groups and institutions regarding underwriting and advisory roles for the potential listing. Those conversations are understood to have taken place ahead of the recent reassessment of IPO timing.
Founded by former Uber chief executive Travis Kalanick, CloudKitchens has raised billions from global investors to expand its real estate driven food infrastructure model across major cities worldwide.
People familiar with the matter said the IPO plans have not been abandoned but deferred, with management now focused on operational performance, unit economics, and selective market expansion before returning to public market discussions.
The delay reflects a broader regional trend, where late stage technology companies are opting to remain private longer or pursue strategic funding routes rather than rushing to market amid tighter global capital conditions.
For Saudi Arabia, CloudKitchens remains closely aligned with national ambitions to deepen the technology, logistics, and consumer services ecosystem. For now, however, Kalanick’s Middle East listing ambitions appear to be paused rather than cancelled.
CloudKitchens pulls back on Mideast IPO