Bira 91's parent company, B9 Beverages, has lost control of its pub business, The Beer Cafe, after its largest shareholder, Kirin Holdings of Japan, and lender Anicut Capital took possession of shares pledged as collateral, Business Standard reported. The takeover marks another setback for the Indian craft beer maker, which has been reeling under heavy losses and a mounting debt burden.
Recent filings with the Registrar of Companies, cited by Business Standard, show that Kirin Holdings and Anicut Capital jointly assumed control of shares in BTB (Better Than Before), the entity operating The Beer Cafe's 42 outlets along with other food and beverage ventures. The development effectively strips B9 Beverages of any ownership stake in BTB.
Founder and CEO Ankur Jain has challenged the move, maintaining that BTB "continues to be a wholly owned subsidiary" of B9 Beverages. Jain told Business Standard that the company has taken the issue to court, alleging that some lenders violated contractual terms. The Delhi High Court, in an interim order dated October 17, has barred Anicut Capital from selling or creating any third-party rights over the BTB shares until the case is resolved, the report said.
Financial disclosures reviewed by Business Standard highlight the growing strain on B9 Beverages. The company reported a net loss of Rs 748 crore in FY24 on revenues of Rs 638 crore, along with negative cash flows of Rs 84 crore. Its accumulated losses rose to Rs 1,904 crore, and liabilities outweighed assets by Rs 619 crore as of March 31, 2024. Sales volumes also slipped to 6-7 million cases in FY24 from 9 million cases a year earlier.
Business Standard noted that Kirin Holdings owns around 20.1% of B9 Beverages, while Peak XV Partners holds 14.6%. Jain and his family collectively control 17.8%, with the remainder owned by smaller investors and family offices.
B9 Beverages had acquired BTB in 2022 through an all-stock transaction. The unit contributes roughly 35% of total revenue, overseeing multiple hospitality and beverage brands such as The Beer Cafe, Bira 91 Taprooms, Thrsty (cloud bar), Instacrave (cloud kitchen), and Burger Brewery, according to Business Standard.
The publication also reported that internal discontent has been rising within the company. Earlier this month, more than 250 employees submitted a petition to the board and major investors, seeking a leadership change and the removal of CEO Ankur Jain. The petition-filed after a September town hall-alleged governance lapses, poor transparency, salary delays, unpaid vendor bills, and ongoing legal battles with creditors as key concerns.
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