Insolvency plea filed against FirstCry subsidiary GlobalBees over Rs 65 crore dues

Insolvency plea filed against FirstCry subsidiary GlobalBees over Rs 65 crore dues

The parent company of omnichannel baby products retailer FirstCry, Brainbees Solutions, has disclosed that an insolvency plea has been filed against its material subsidiary, GlobalBees Brands, over alleged unpaid dues of nearly Rs 65 crore.

In a filing to stock exchanges on June 18, Brainbees said Ashutosh Garg, Paritosh Garg, and Manju Agarwal have moved the National Company Law Tribunal’s (NCLT) New Delhi bench under Section 7 of the Insolvency and Bankruptcy Code (IBC), seeking to initiate insolvency proceedings against GlobalBees. The claimed amount stands at Rs 64.92 crore, along with 18% annual interest accruing from May 9, 2025.

GlobalBees, which invests in and operates a portfolio of digital-first consumer brands, is actively seeking legal advice and plans to challenge the plea even at the admission stage, Brainbees added.

“The financial implication on the Company cannot be ascertained and is contingent upon the final outcome of the said proceedings and subsequent legal challenges,” the company said in the filing.

FirstCry reported a net loss of Rs 111.5 crore for the fourth quarter of FY25, which widened compared to Rs 43.2 crore a year ago, company filing said on May 26. FirstCry had reported a loss of Rs 14.7 crore in the previous quarter. The firm incurred a one-time loss of Rs 36.7 crore, which contributed to the losses in the March quarter.

Loss for the full financial year, however, narrowed by 18 percent to Rs 264.8 crore in FY25, compared to a loss of Rs 321.5 crore in the previous year.

The firm's revenue from operations rose 16 percent on year to Rs 1,930.3 crore in Q4FY25, up from Rs 1,668.9 crore last year. The revenue fell 11 percent compared to Rs 2,172.3 crore in the previous quarter.

For the full year, the company reported a consolidated operational revenue of Rs 7,810.1 crore in FY25, up 19 percent from Rs 6,550 crore in FY24.

Total expenses for the FirstCry parent, meanwhile, increased 17 percent to Rs 1,914.4 crore in the quarter ended March, up from Rs 1,633.7 crore a year ago and Rs 2064.4 crore a quarter ago. For the full year, the firm’s expenses came in at Rs 7,429.6 crore, up 16 percent from Rs 6,410.4 crore in the previous year.