remove<\/a> the word \u201cPrivate\u201d from the company\u2019s name, changing it to B9 Beverages Limited.<\/p>\n\n\n\nThe name change was officially registered with the Registrar of Companies (RoC) in January 2024, but the company\u2019s packaging, labels, and licenses still displayed the old name because existing stock was still being distributed.<\/p>\n\n\n\n
Muthukrishnan explained that after the change, \u201cAll hell then broke loose,\u201d as multiple states immediately banned the sale of Bira 91, treating the new name as a separate entity.<\/p>\n\n\n\n
The states demanded new legal approvals, label permissions, product registrations, and fresh licenses for every variant, creating widespread disruption.<\/p>\n\n\n\n
The ban led to a complete halt in distribution, leaving unsold inventory worth crores in company warehouses.<\/p>\n\n\n\n
Bira 91 Faces 25% Drop in Sales Within Three Months of 2024<\/strong><\/p>\n\n\n\nBetween July and September 2024, Bira\u2019s sales volumes dropped by about 25% compared to the previous year.<\/p>\n\n\n\n
The company\u2019s revenue for FY2024 fell to around \u20b9638 crore, down from \u20b9824 crore in FY2023, while it posted a massive net loss of \u20b9748 crore \u2014 one of its worst financial years ever.<\/p>\n\n\n\n
Although Bira eventually regained approvals in most states and restarted production in early 2025, its brand momentum was lost, and the IPO plan was indefinitely postponed.<\/p>\n\n\n\n
Muthukrishnan blamed India\u2019s bureaucratic red tape for the collapse, calling it a key reason for the brand\u2019s downfall.<\/p>\n\n\n\n
He cited former Diageo India CEO Hina Nagarajan, who chose to retain the name United Spirits instead of changing it to Diageo India Limited to avoid similar business disruptions.<\/p>\n\n\n\n
He concluded by saying that while what happened to Bira was \u201cextremely unfair,\u201d one must accept India\u2019s reality \u2014 strict compliance, documentation, and expert advice are crucial because \u201cwhat you assume need not work in reality and may even go against you.\u201d<\/p>\n\n\n\n
Image Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"For India\u2019s beer brand Bira 91, its name turned out to mean everything, as a small change led to the company\u2019s downfall. Investor D. Muthukrishnan explained in a social media post how a minor name change triggered Bira 91\u2019s collapse and resulted in the founder being forced to step down. A Minor Name Change Pushes […]<\/p>\n","protected":false},"author":30,"featured_media":1301382,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[8813],"class_list":["post-1301365","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-bira"],"acf":[],"yoast_head":"\n
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