Bira91 parent plans a Rs 400-cr fund shot for expansion plans
maker of Bira 91 beer and owner of The Beer Cafe pub chain, is set to raise Rs 400 crore ($50 million) of fresh funds, executives close to the development said. The money, from existing investors as well as a new one, will be used to expand business. This will be the third round of fund raising for B9 Beverages in 13 months.
The existing investors include Japan's Kirin Holdings, Sequoia Capital and Sofina of Belgium.
«The deal is expected to be closed in the coming weeks, with all fundraise details having been finalised,» said one of the executives with direct knowledge of the matter.
B9 Beverages chief executive officer Ankur Jain and Rahul Singh, chief executive and founder of The Beer Cafe, declined to comment.
The funds will help raise capacity and widen the distribution of Bira 91's portfolio, which includes craft, lager and strong beer with products such as Bira White, Gold and Boom, besides cider ale and seltzers. The investment will also be used to expand The Beer Cafe and Bira 91 Taproom chains, according to the executives cited above.
Bira91, launched in 2015, is currently distributed in over 1,000 towns and cities in two dozen countries. B9 Beverages has six breweries.
The past 13 months have seen Kirin Holdings Co. and Japan's MUFG Bank investing a total $80 million in B9 Beverages separately, valuing the beer maker at $550-600 million.
In November last year, Japanese beverage group Kirin Holdings raised its stake in Bira 91 to 20% for '570 crore from 10%, making it the largest fundraise for the beer maker.
The money helped fund two new breweries and increased global presence of the homegrown beer brand. In March this year, Bira 91 raised $10 million from Japan's MUFG Bank Ltd. Prior to that, Kirin
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