Following a strong financial performance in 2023, Japan’s Kirin Holdings has announced plans to invest US$25 million into India’s craft beer market, signalling its growing interest in international expansion. The investment will increase Kirin’s minority stake in B9 Beverages, the company behind the popular Indian craft beer brand Bira 91, and the pub chain Beer Cafe.The investment will be made through the purchase of new shares, which is expected to raise Kirin’s stake above its current 20%. According to reports, another US-based investor is also poised to inject an additional US$25 million into the business. Combined, the fresh funding would total US$50 million at a pre-money valuation of US$600 million.

Kirin sees growth across beer and RTD segments

Kirin Holdings reported a revenue increase of 7.3% year-on-year in 2023, reaching ¥2.1 trillion (£11.1 billion), with profit up 4.6% compared to the previous year. Operating profit surged by 29.5% to ¥150.3 billion (£79.4 million). The Kirin Brewery division contributed ¥685 billion in revenue, marking a 3.2% increase from 2022, while total beer sales climbed by 5.9% to 1.4 billion litres.

CEO Yoshinori Isozaki credited the company’s better-than-expected performance in part to strategic price adjustments. In October, Kirin lowered prices on flagship beers such as Kirin Ichiban, boosting sales significantly. Meanwhile, price increases on no-malt products like Honkirin and Kirin Nodogoshi Nama also helped maintain margins.

Focus shifts to core beer brands and Indian growth

Looking ahead to 2024, Kirin expects profits to grow a further 6.4%, reaching ¥2.3 trillion (£12.0 billion). Isozaki said that the company will double down on its core offerings, with Kirin Ichiban and new products in the pure beer category forming the cornerstone of the year’s strategy.

Outside of Japan, the move to expand its investment in B9 Beverages underlines Kirin’s confidence in India’s fast-growing premium beer market. Bira 91 has emerged as one of the most recognisable craft beer brands in the country, appealing to younger urban consumers and carving out a strong niche in both retail and on-trade channels.

Strategic moves ahead of 2026 tax shake-up

Kirin is also preparing for major changes in its domestic market, where liquor tax revisions are expected to come into effect in 2026. These changes are forecast to increase competition across the beer category, prompting the company to strengthen marketing efforts and reinforce its strongest brands in advance.

“The key to success in 2026 will be how much we can win in the beer category,” Isozaki said. “It is also important to maintain our strong brands” in categories that will face higher tax brackets under the revised structure.

The US$25 million investment in India is a clear signal that Kirin is not only shoring up its domestic strategy but also positioning itself to tap into emerging global markets where demand for premium and craft beer is rapidly rising.