HNGIL Issues Default Notice to Bira 91 for ₹11.77 Cr Dues

Hindusthan National Glass and Industries Ltd (HNGIL) has issued a default notice to B9 Beverages Ltd, the parent company behind beer brand Bira 91, demanding an outstanding payment of ₹11.77 crore. This move marks a significant escalation, with HNGIL considering initiating insolvency proceedings against the startup.

The demand stems from over 51 lakh customized 650 ml amber glass bottles, manufactured by HNGIL based on three purchase orders placed by Bira 91 in June and September 2024. These bottles, bearing Bira 91’s distinct branding, remain stored at HNGIL’s facilities and are difficult for the manufacturer to sell elsewhere.

The Dispute Unfolds

HNGIL’s claim under Section 8 of the Insolvency and Bankruptcy Code (IBC) is a prerequisite for an operational creditor to file an application under Section 9, which could lead to the Corporate Insolvency Resolution Process (CIRP) at the National Company Law Tribunal (NCLT). The outstanding amount includes both the value of the bottles and accrued storage charges.

• The claimed amount totals ₹11.77 crore.
• This sum comprises ₹7.03 crore for bottle value and ₹1.12 crore in storage fees.
• A legal notice was previously sent on May 6, 2026, seeking payment and stock collection.

Legal Pathways Ahead

B9 Beverages now faces a critical 10-day window from the notice’s receipt to clear the debt or present proof of a pre-existing dispute. Failure to do so could result in HNGIL approaching the NCLT to formally commence insolvency proceedings.

This development underscores B9 Beverages’ ongoing financial challenges, with the company reportedly out of production since September 2025 and having accumulated debt close to ₹1,000 crore. The founder, Ankur Jain, and his family recently stepped down from the board as part of a settlement with lenders and investors.

Bira 91’s Financial Turn

A major restructuring effort is currently underway, led by Anicut Capital, with participation from key investors Peak XV Partners and Kirin Holdings. This recapitalization aims to settle liabilities and vendor payments before operations can fully resume.

Amid these financial maneuvers, several companies, including Varun Beverages, are reportedly considering acquiring B9 Beverages. The outcome of the HNGIL default notice will undoubtedly influence the path forward for the popular beer brand.