Bira 91 founder Ankur Jain has stepped down from the board of B9 Beverages after reaching a settlement with the company’s lenders and institutional shareholders, marking the end of a prolonged dispute over the brewer’s financial and governance challenges.
According to the settlement, Jain has relinquished the promoter family’s executive powers in exchange for relief from certain personal liabilities linked to the company’s borrowings. The agreement brings to a close a dispute that had continued for nearly two years as B9 Beverages struggled with mounting financial pressures.
Leadership Change Follows Prolonged Financial Stress
The leadership transition comes after a difficult period for B9 Beverages, which has been grappling with significant financial losses and operational challenges. Over the past few years, the company has faced growing pressure from lenders, investors, employees, and creditors as its financial position weakened.
For the financial year 2023-24 (FY24), B9 Beverages reported a net loss of Rs 748.8 crore on operating revenue of Rs 638.5 crore. The widening losses reflected the company’s ongoing struggle to sustain operations amid increasing costs and cash flow constraints.
The company has not yet disclosed its financial statements for FY25 or FY26.
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Investors Sought Major Management Changes
As the company’s financial condition deteriorated, institutional investors reportedly sought significant changes in management, including Jain’s departure from executive responsibilities.
The pressure intensified after recurring cash flow issues affected day-to-day operations. Reports of delayed salary payments and legal notices from creditors added to concerns over the company’s financial stability. These developments prompted investors to push for stronger governance measures and a restructuring of the company’s leadership.
The latest settlement is expected to pave the way for a revised management structure while allowing the company to focus on its recovery efforts.
Debt Burden and Legal Challenges
B9 Beverages’ financial difficulties also resulted in legal proceedings before the National Company Law Tribunal (NCLT), highlighting the severity of its debt-related issues.
The company had accumulated substantial borrowings from lenders, including Anicut Capital and the family office of Hero Corporate Services. According to the report, total debt reached around Rs 1,000 crore.
Ankur Jain had also provided personal guarantees for some of these loans, increasing his financial exposure as the company’s liabilities mounted. The recent settlement addresses these personal obligations while transferring executive control away from the promoter family.
Rebranding Exercise Added to Financial Pressure
The company’s financial situation was further complicated by an unsuccessful corporate rebranding initiative.
According to the report, B9 Beverages incurred a cost of approximately Rs 80 crore following a change in its registered corporate name. The exercise did not produce the intended business benefits and instead added to the company’s financial burden during an already challenging period.
Combined with slowing operations and increasing debt, the failed rebranding became another factor contributing to the company’s overall financial strain.
Employee Concerns Reached the Board
Apart from lenders and investors, employees also expressed concerns over the company’s internal situation.
By late 2025, more than 250 employees had reportedly written to the board of directors and key investors regarding delayed salary payments and alleged corporate governance issues. The communication reflected growing dissatisfaction within the organisation as operational and financial problems continued.
The employee concerns added another layer of pressure on the company’s leadership while discussions with lenders and investors were underway.
Focus Shifts to Restructuring and Fresh Capital
With the settlement now in place, B9 Beverages is working toward stabilising its business through an out-of-court restructuring process and a fresh capital infusion.
The company is backed by several prominent investors, including Peak XV Partners, Sofina, and Kirin Holdings. The restructuring efforts are aimed at improving the company’s financial position and supporting the continuation of its operations.
Jain’s departure from the board represents a significant milestone in B9 Beverages’ restructuring journey. As executive control shifts away from the promoter family, the company will now focus on addressing its financial challenges, strengthening governance, and securing the capital needed to support its long-term recovery.
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