HNGIL Warns Bira91 Investors of Potential Insolvency Proceedings Over Outstanding Dues

Hindustan National Glass & Industries Ltd Warns B9 Beverages of Insolvency Proceedings

Glass manufacturer Hindustan National Glass & Industries Ltd (HNGIL) has issued a stern warning to B9 Beverages, the parent company of popular craft beer brand Bira91, regarding potential insolvency proceedings if the company fails to settle its outstanding dues of Rs 11 crore.

A June 4 letter sent to B9 Beverages investors, reviewed by Moneycontrol, indicates that HNGIL is open to resolving the payment dispute amicably but is reserving its options in case of an unfruitful negotiation. The letter also references a May 6 legal notice sent to B9 Beverages demanding Rs 11.19 crore in unpaid dues and the immediate lifting of 51.42 lakh customised bottles stored at HNGIL's plants.

HNGIL has threatened to take further action, including but not limited to, initiating proceedings under the Insolvency and Bankruptcy Code, 2016, against Bira91, if a resolution is not reached promptly. The company has expressed its preference for an amicable and commercially reasonable resolution of the dispute.

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The letter was copied to several Bira91 investors, including Peak XV Partners, Sofina, BlackRock, Tiger Pacific Capital, Anicut Capital, Sixth Sense Ventures, MUFG Intime India, and Japan-based Kirin Holdings.

According to the letter, Bira91 chief executive officer and founder Ankur Jain responded to the legal notice, stating that the company is undergoing a recapitalisation process, which is expected to conclude by the current financial quarter. Jain requested more time and indicated an intention to lift the contracted stock following the resumption of production in the subsequent quarter.

Financial Struggles

B9 Beverages has been facing significant financial difficulties, including non-payment of salaries and provident fund (PF) and TDS (tax deducted at source) violations. In October, about 90 former and current employees of the company wrote an open letter to central government authorities highlighting these issues.

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The company's operations have been on pause since Q3FY26, and no capital has been infused into the business since April 2024 except for a rights issue in June 2025. Financial data accessed by business intelligence firm Tofler reveals a 31.5 percent drop in revenue from operations at Rs 554.8 crore in FY24 from Rs 810.1 crore in the year-ago period. The company's net loss widened to Rs 643.5 crore in FY24 from Rs 391.4 crore in FY23.