More than 250 employees of B9 Beverages, the company behind the popular Bira 91 craft beer, have approached the board and key investors, including Kirin Holdings and Peak XV Partners, demanding a leadership change and the removal of founder Ankur Jain from the company’s management, reported The Economic Times.
The petition was also addressed to the company’s largest lender, Anicut Capital, and comes after a town hall held by the company in September.
Employees cited “corporate governance failure, lack of transparency, delays in salaries and dues,” as well as cases filed by creditors indicating deteriorating financials and pending vendor payments.
Sources familiar with the matter told ET that nearly all current employees have backed the petition.
The developments come amid reports that Bira 91’s production had stopped in July. American asset management fund BlackRock, which was in advanced talks to invest Rs 500 crore in the promoter group, reportedly pulled out as well.
The privately held B9 Beverages is controlled by Jain and his family, who hold a 17.8% stake. Kirin Holdings remains the largest stakeholder with a 20.1% share.
Jain said the company “is not aware of any such petition addressed to key shareholders,” and that the board has not received formal communication. He acknowledged a “pause” in production in September but expects it to resume this month.
Employees speaking to ET said salaries have been pending for six months, with reimbursements delayed since November 2024. Tax deducted at source for over 50 employees was not deposited for the last financial year, while provident fund payments were last made in March 2024.
Pending salaries and reimbursements for more than 500 employees, including those who have left the company, are estimated at Rs 50 crore. The company’s workforce has fallen from over 700 last year to just over 260 now.
Jain attributed the delays to business restructuring, focusing on fewer states, reducing fixed costs, and improving gross margins. He confirmed that employee headcount has been cut by nearly 50% over the last 15 months.
B9 Beverages reported a net loss of Rs 748 crore in FY24 on revenues of Rs 638 crore, with sales volume dropping to 6–7 million cases from 9 million cases in FY23. The company has not yet filed FY25 numbers.
Jain also cited “significant business disruptions” over the last 18 months, including re-registration of licences, liquor policy changes, and fundraising delays, which contributed to overdue payments.
He added that facilities in Gwalior and Nagpur were operational in July and August, with production expected to resume this month.
