The brewer’s latest financing deal brings the total raised to about US$625 million
Delhi -based beer brand Bira 91 has secured US$25 million through external commercial borrowing (ECB) from an existing investor, Kirin Holdings, according to regulatory filings.
The loan was made through B9 Beverages, the company behind Bira 91 and the restaurant chain The Beer Cafe. Earlier this year, the board of B9 Beverages passed a special resolution enabling the company to secure the loan via an ECB from Kirin Holdings in two tranches of US$12.5 million each.
In total, Bira 91 has raised US$50 million in the past three months, including the US$25 million from Kirin Holdings in June, and US$25 million from US-headquartered Tiger Pacific Capital in March.
Tiger Pacific’s acquisition of approximately 4% of Bira 91 for US$25 million valued the company at around US$625 million. Kirin Holdings retains the option to convert its ECBs into Series D Compulsorily Convertible Preference Shares at a later date, according to the accompanying regulatory filings.
Bira 91, founded in 2015 by Indian entrepreneur, Ankur Jain, sells craft, lager and strong beers under names such as Bira 91 Rise, White, Gold, Blonde Summer Lager, and Boom among others. In 2020, it started selling non-alcoholic beverages. The brewer has established a presence across 550 towns and cities, and now has operations in about 18 countries. It claims to be the fourth-largest beer company in India, sitting at a market share of 5% across key markets.
The company has raised a total of US$350 million to date. In its November 2022 funding round, it secured US$70 million, again led by Kirin Holdings. Peak XV (formerly Sequoia Capital) holds the largest external stake at 24.83%, while Kirin Holdings owns 21.25% of the company following its last equity fundraising, according to Entrackr data.
The company reported revenues of INR8.24 billion (US$98.6 million) for last financial year, a 14% increase from the INR7.19 billion reported for 2022. Losses, however, widened by 12%; increasing from INR3.96 billion to INR4.45 billion during the same period.
