For years, Bira 91 symbolised everything urban, youthful, and experimental about India’s craft beer culture. Founded by Ankur Jain in 2015, the brand redefined how India drank beer — lighter, smoother, and far more fun than the usual strong lagers. But in just a few years, the same brand that ruled bars and parties is now facing serious financial and operational trouble.
From Startup Glory to a Brewing Crisis
When Ankur Jain returned to India after selling his healthcare startup in New York, he wanted to create something unique. That’s how Bira was born India’s first true craft beer. In its early days, Bira was brewed in Belgium to maintain top-tier quality before moving production to Indore. Its unconventional taste and funky monkey branding helped it explode in popularity, particularly among young professionals in cities like Delhi, Mumbai, and Bengaluru.
The momentum was unstoppable. Sales soared to ₹840 crores by 2023, and investors like Kirin Holdings and Peak XV Partners poured in nearly $450 million. But as quickly as it rose, the cracks began to appear beneath the surface.
The Costly Name Change That Froze Sales
In 2023, Bira’s parent company, B9 Beverages Private Limited, was legally required to drop “Private” from its name as it crossed the 200-shareholder limit. The new name, B9 Beverages Limited, triggered a licensing nightmare. Each Indian state treated the name change as the birth of a new company meaning every single permit, label, and licence had to be reapplied for from scratch.
For six long months, Bira’s sales were paralyzed in major markets like Delhi and Andhra Pradesh, which accounted for nearly 40 percent of its revenue. During this downtime, rivals like Simba and White Owl swooped in to claim shelf space and loyal customers. Once beer lovers move on, they rarely come back and Bira learned that the hard way.
Mounting Losses and Employee Revolt
By FY24, Bira’s financial health had deteriorated alarmingly. The company reported losses of ₹740 crore against ₹660 crore in revenue and negative cash flow of ₹80 crore. Auditors even raised doubts about its ability to continue operating as a “going concern.”
The internal situation wasn’t much better. Over 250 employees reportedly wrote to the board and major investors, calling for founder Ankur Jain’s removal, citing poor governance, lack of transparency, delayed payments, and unpaid dues.
The Quality and Strategy Missteps
While many blame the name change for Bira’s troubles, industry insiders say the problems began earlier. When Bira moved production from Belgium to India, it couldn’t replicate the same taste with different ingredients and water changed the brew’s original flavour.
Worse, instead of setting up its own brewery, Bira leased third-party facilities, ballooning costs and complicating operations. Add to that expensive marketing moves like sponsoring ICC tournaments for five years, and the company’s balance sheet began to strain.
The craft beer market Bira helped create quickly became crowded, with competitors offering fresher, award-winning brews. Brands like Simba, White Rhino, Goa Brewing Company, and Kati Patang began eating into its market share.
Can Bira Make a Comeback?
Despite the turbulence, Ankur Jain remains confident. He insists that the brand is restructuring and resolving payment delays while exploring fresh funding options. However, a major lifeline slipped away when global investor BlackRock withdrew a proposed ₹500 crore investment following the recent crisis.
For Bira to bounce back, it must go beyond fundraising. It needs a total management overhaul, renewed discipline, and stronger governance to rebuild trust among employees, suppliers, and regulators. Craft beer may be about creativity, but business sustainability depends on precision and planning.
If Bira can restore its operational stability and re-enter lost markets with the same innovation that once made it famous, it might still reclaim its fizz and once again become the beer that defined modern India’s nightlife.
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