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The U.K.-based firm is issuing convertible bonds to pay for the warehouses, which other grocery companies plan to use for food delivery. (Financial Times)

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Talking point: In the past two years, Ocado has struck deals with major grocery chains in Sweden, France and the U.S. to build robot-fuelled warehouses powering online delivery. On Friday, the firm signed a deal with Japanese retailer Aeon to build warehouses designed to serve the entire country. In Canada, Ocado is building two warehouses for Sobeys: one designed to serve the Greater Toronto Area scheduled to open in early 2020, and another based in Montreal for 2021. For large grocery chains, it provides a technological alternative to Amazon, which uses robots extensively in its own warehouses. Sobeys’s reliance on Ocado offers a counterpoint to the direction Loblaws has taken recently: launching its own online marketplace, an Amazon Prime-style rewards program and, as outlined above, making a play for the lucrative meal kit market.

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CloudKitchens lets delivery-only restaurants use shared kitchen spaces to prepare meals that that are then delivered through Postmates, a food delivery service based in the U.S. Kalanick took over City Storage Solutions, the parent company of CloudKitchens, last year through his investment fund. (Financial Times)

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Talking point: This is Kalanick’s first venture after being pushed out of Uber. UberEats already has 1,600 restaurants that operate out of professional kitchens and only deliver. Popular food delivery startups like Foodora and Instacart offer a way for existing restaurant and grocers to deliver services, and Kalanick’s venture takes advantage of the growing food delivery market, expected to be worth US$76 billion by 2020.