Bira 91 Secures $25 Million Funding, Bringing Recent Haul to $50 Million

Indian craft beer maker Bira 91 has secured $25 million in fresh funding through External Commercial Borrowings (ECB) from its existing investor, Kirin Holdings. This latest infusion brings Bira 91’s total funding raised in the past three months to $50 million, following a $25 million investment from Tiger Pacific Capital in March 2024.

Details of the Funding and Investor Option

Bira 91’s board of directors approved a resolution to raise $25 million via ECB from Kirin Holdings in two tranches of $12.5 million each. Public filings accessed by the Registrar of Companies reveal these details. The agreements also grant Kirin Holdings the option to convert the borrowed funds into Series D Compulsorily Convertible Preference Shares (Series D CCPS) of Bira 91 at a later date.

Previous Investment and Valuation

Earlier in March, Tiger Pacific Capital reportedly acquired a 4% stake in Bira 91, valuing the company at approximately $600 million pre-money (before the current investment). Additionally, over the past four months, Bira 91 is reported to have raised nearly Rs 100 crore (approximately $12 million) through non-convertible debentures.

Overall Funding and Investor Landscape

Including this latest funding round, Bira 91 has garnered a total of $350 million in capital to date. This includes their $70 million Series D round led by Japanese beverage giant Kirin Holdings in November 2022. Startup data platform TheKredible indicates that Peak XV (formerly Sequoia Capital) was Bira 91’s largest external shareholder with a 24.83% stake, followed by Kirin Holdings with a 21.25% ownership as of their last equity fundraising round.

Company Performance and Geographic Reach

Bira 91 offers a diverse range of beer varieties, including Bira White, Gold, Blonde, and Boom Super Strong. Their products are available in over 1,000 towns across 25 countries, brewed at six manufacturing units located within India.

While Bira 91 has not yet disclosed their latest financial results, the company achieved a 17% year-on-year growth in sales volume during FY23, with revenue nearing Rs 850 crore. However, they also reported a loss of Rs 446 crore for the fiscal year ending March 2023.