India: Bira founder Ankur Jain agrees to step down after months of negotiations with investors

Bira founder Ankur Jain has, in principle, agreed to step down from the helm of the company after months of negotiations with investors, according to two people aware of the developments, The Morning Context reported.

The talks have been ongoing for several weeks and have involved significant back-and-forth, with discussions now moving toward a structure under which Jain would cease control of the company. A resolution is expected sooner rather than later, one of the people cited in The Morning Context report said.

According to the report, for some time, Bira’s investors and shareholders have been pressing for a change in management at the troubled beer brand. Earlier this year, Jain was informed that any potential rescue of the company would be contingent on his stepping aside to make way for external professionals, a move he was reportedly reluctant to make for a prolonged period.

According to The Morning Context, the absence of fresh external funding has backed Jain into a corner, exacerbated by mounting personal liabilities. Jain had borrowed money to buy Bira shares from existing investors, and lenders have since sought repayment. In one such instance, an entity linked to Jain borrowed funds from Hero Enterprise chairman Sunil Munjal’s trust, pledging Jain’s Bira shares as collateral. Munjal invoked those shares in October.

Separately, Bira has also failed to make tax deducted at source (TDS) payments for its employees with the income tax department for over six months, the report said.

While Jain has been engaged in talks for weeks, the two sides have been unable to arrive at a middle ground until now. With discussions entering their final stage, investors are keen to avoid prolonging the stalemate further. If Bira is to be revived in 2026, the company would need to be operational by the summer, its peak season.

The investor negotiations come against the backdrop of mounting internal unrest at B9 Beverages. In October, more than 250 employees of the company have petitioned the board and key investors, including Kirin Holdings and Peak XV Partners, seeking the removal of founder and chief executive Ankur Jain.

The petition, addressed to the board, major shareholders and the company’s largest lender, Anicut Capital, alleges corporate governance failures, lack of transparency, and prolonged delays in employee salaries and statutory dues. Employees also pointed to pending creditor cases and unpaid vendor bills as signs of the company’s worsening financial position, the report stated.

The internal dissent follows a period of financial stress for B9 Beverages. The company reported a net loss of Rs 748 crore in FY24 on revenue of Rs 638 crore, while sales volumes declined to 6–7 million cases from 9 million in FY23. The company has yet to file its FY25 results.

In July, B9 Beverages announced a leadership restructuring, appointing Vikram Qanungo as chief financial officer, alongside senior appointments across manufacturing and sales.