Bira 91 Founder Eyes Asset Sale to Tackle Cash Crunch

In a bold move to rescue his struggling craft beer empire, Bira 91 founder Ankur Jain has proposed selling a key asset to raise quick cash and pay overdue employee salaries. This comes as the company battles severe financial woes, with production halted and losses mounting. But investors are raising red flags over the deal’s details, sparking fresh uncertainty.

Financial Woes Grip Bira 91 Maker

B9 Beverages, the parent company of popular craft beer brand Bira 91, is deep in a cash crisis that has left hundreds of workers unpaid for months. Founder Ankur Jain recently told employees in a letter that he’s found a buyer for one of the company’s non-core assets. The goal? To inject immediate funds to clear delayed salaries and provident fund dues.

This asset sale could be a lifeline for the debt-hit firm, but it has stirred concerns among key investors. Production at B9 Beverages stopped in July 2025, crippling the supply of Bira 91 beers across India. The company reported a staggering net loss of Rs 748 crore in fiscal year 2024, far outpacing its revenue of Rs 638 crore. Sales volumes fell to just 6-7 million cases that year, a sharp drop from its peak.

Employees have borne the brunt of this turmoil. Over 250 staff members have gone without pay for up to six months, with some arrears dating back to November 2024. Unpaid tax deductions and reimbursements have added to their frustrations. In early October 2025, a group of workers petitioned the board and shareholders, demanding Jain’s removal and citing governance failures.

The crisis has even reached government ears. Several employees have written to Union authorities, highlighting delayed payments and withheld entitlements. This paints a grim picture for a brand that once symbolized India’s booming craft beer scene.

Details of the Proposed Asset Sale

Jain’s letter to employees outlined the plan clearly. He said the sale would provide “immediate cash” to tackle critical issues, starting with provident fund dues and payroll for the lowest-paid workers, including former staff. The proposal was sent to major lenders and shareholders on November 6, 2025, with hopes of quick approval.

Jain confirmed the move but kept details under wraps, refusing to name the asset or buyer. He told reporters that the company explored various options to resolve dues and revive operations, including offloading non-essential assets. B9 Beverages’ key backers include Japan’s Kirin Holdings, Anicut Capital, and Peak XV Partners, who have poured significant funds into the venture.

While the sale aims to restart business in key markets, it hasn’t been smooth sailing. The company hasn’t filed its fiscal year 2025 financial results yet, leaving stakeholders in the dark about its current health. This lack of transparency has fueled doubts about whether the deal will truly stabilize the firm.

To break down the potential impact, here’s a quick look at what the sale might cover:

• • • Clearing provident fund dues for all employees.
    • Paying salaries for the bottom 50% of the workforce, including ex-employees.
    • Funding to resume production and sales in major regions.

This step-by-step approach shows Jain’s focus on immediate relief, but it depends on investor buy-in.

Investor Concerns and Employee Backlash

Investors aren’t fully on board. Two senior executives from major investing firms expressed worry over the deal’s opacity. They claimed no knowledge of the buyer’s identity or the offer’s terms. “We don’t even know who the buyer is or if there’s a firm term sheet,” one executive said anonymously.

This unease highlights broader governance issues at B9 Beverages. The company has faced accusations of irregular tax handling, with unremitted deductions affecting over 50 employees in the prior fiscal year. Such problems have eroded trust, making the asset sale a potential flashpoint.

Employees, meanwhile, have ramped up their protests. The October petition wasn’t just about pay; it pointed to deeper mismanagement. Workers feel squeezed, with halted production leading to job insecurity. Some have turned to social media to voice their plight, sharing stories of financial hardship.

For context, Bira 91 burst onto the scene in 2015, quickly becoming a favorite with its flavored beers and catchy marketing. But rapid expansion led to heavy debts, and competition from giants like United Breweries intensified the pressure. A 2023 report from market analysts showed India’s craft beer sector growing at 15% annually, yet Bira struggled with scaling costs.

Path Forward Amid Uncertainty

As B9 Beverages navigates this storm, the asset sale could mark a turning point or deepen the divide. Jain remains optimistic, assuring staff that the funds will help reboot operations. But without clear details, investors might push back, demanding more oversight.

The beer industry in India is evolving fast. Data from a 2024 study by the All India Brewers Association indicates that craft beers now make up 10% of the market, up from 5% five years ago. For Bira 91, tapping into this growth requires stability, something the current crisis threatens.

Experts suggest companies in similar binds often succeed by streamlining operations and securing fresh investments. Bira’s case could serve as a cautionary tale for startups chasing quick growth without solid financial footing.

This table underscores the scale of the challenge. Resuming production might boost volumes, but only if the cash influx happens soon.

In wrapping up, the saga at Bira 91 reveals the harsh realities of India’s startup world, where bold ideas can crash against financial walls, leaving workers and investors in limbo. As Ankur Jain fights to save his company through this asset sale, the outcome could reshape the craft beer landscape. What do you think about this move, will it pull Bira back from the brink or signal deeper troubles? Share your thoughts and pass this article along to your friends on social media.