Bira 91 Maker B9 Beverages to Sell Non-Core Asset Amid Cash Crunch To Clear Pending Salaries & PF Dues: Report

Debt-stricken craft beer producer B9 Beverages is taking steps to address its financial woes. Founder Ankur Jain recently informed employees about finding a buyer for one of the company's assets. This sale aims to provide "immediate cash" to settle overdue salaries and provident fund dues, though investors have raised concerns about this move as per ET report.

Bira 91 Maker B9 Beverages Identifies Buyer for Asset to Address Cash Crunch

According to The Economic Times, Jain said the proposed sale would help the company raise immediate funds to clear pending salaries and provident fund (PF) dues. "We have sent the proposal to key lenders and shareholders yesterday... and [are] hopeful of timely consent," the letter stated.

Jain confirmed the communication but declined to disclose details about which asset was being sold. "The company has identified various avenues to resolve dues for employees and recovery of business, including the sale of certain non-core assets," he told ET.

B9 Beverages counts Japan's Kirin Holdings, Anicut Capital and Peak XV Partners among its key investors and lenders. The company has been grappling with severe liquidity challenges that have left many employees unpaid for several months.

Bira 91 Investor Concerns Over Transparency

Despite the planned sale, investor unease has grown over the lack of transparency surrounding the deal. Two senior executives from investing firms told ET that they were unaware of the buyer's identity or the transaction's terms.

"We don't even know who the buyer is... is there a firm offer or term sheet?" one executive from a major investor was quoted as saying.

The uncertainty adds to the company's ongoing troubles, which include unpaid salaries, delayed reimbursements, and tax deduction (TDS) irregularities.

In early October, more than 250 employees reportedly petitioned the company's board and shareholders seeking Jain's removal. The letter cited unpaid salaries for over six months, pending arrears since November 2024, and unremitted TDS for more than 50 employees during the previous financial year.

Employee dissatisfaction has also reached government authorities, with several workers writing to the Union government over delayed payments and alleged withholding of basic entitlements.

Bira 91 Production Halt and Mounting Losses

Production at B9 Beverages has been halted since July 2025, severely disrupting supply of its popular craft beer Bira 91. The company posted a net loss of Rs 748 crore in FY24, exceeding its total revenue of Rs 638 crore. Volume sales reportedly dropped to 6-7 million cases during the same period.

The company has yet to file its FY25 financial results, further clouding visibility on its fiscal position.

In his letter, Jain said proceeds from the asset sale would be used to address critical obligations. "The sale of the asset will enable immediate solution to some critical areas, including employee provident fund (PF) dues, payroll for the bottom 50% of employees (including ex-employees), and resumption of business in key markets," he wrote.

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