<ul><li>V G Siddhartha made as much as ₹2,858 crore by offloading his stake in Mindtree. </li><li>His venture Way2Wealth has been piling up debt, while clocking in losses. </li><li>‘Coffee King’ was his success at convincing the government to ease its strict policies and duties, </li><li>His plan of building coffee houses which also doubled as Internet cafes was a hit with Bangaloreans. </li></ul> Just a few months back, V G Siddhartha made <a href="https://www.businesstoday.in/top-story/vg-siddhartha-made-a-profit-of-rs-2858-cr-from-his-mindtree-stake-sale-to-lt/story/329612.html">as much as </a>₹2,858 crore by offloading his stake in Mindtree. That could have felt like a windfall for anyone else. Not for Siddhartha who had financial and other troubles piling up. At the time he went missing on Monday (July 30), a <a href="https://www.businessinsider.in/business/cafe-coffee-day-founder-vg-siddhartha-letter-to-board-of-directors/articleshow/70443951.cms">letter surfaced </a>where he allegedly took the blame for bad business decisions but also accused lenders and tax officials of putting undue pressure on him. Ever since, Income Tax Department raided his premises in 2017, he had been on a downhill. He is known to<a href="https://www.livemint.com/industry/infotech/why-ccd-founder-siddhartha-wants-to-sell-his-mindtree-stake-1548698619358.html"> owe as much</a> as ₹300 crore to IT authorities. This drove him to sell his stake in the IT company where he was invested since 1999. The Silver Spoon The stress of failure was too much for Siddhartha who has known success and only success even when he took risky bets. Siddhartha had a charmed birth as he was born into a family which owned coffee plantations, and been in the business for 135 years. The heir apparent was not content running his family business, and his adventurous spirit was stoked by his own father who gave him ₹5 lakhs right after he completed his Masters in Economics from the Mangalore University. He went on to learn the nitty gritty of stock markets by working with JM Financial before he started his own stock broking and investment banking firm, Sivan Securities. Yet, his legacy called him back and he started exporting coffee. Legend of the Coffee King What earned him his name ‘Coffee King’ was his success at convincing the government to ease its strict <a href="https://www.yosuccess.com/success-stories/v-g-siddhartha-cafe-coffee-day/">policies and duties</a>, which made life tough for Indian planters. With the inflated taxes gone, the golden period of coffee traders started. Yet again, Siddhartha refused to sit back and enjoy his cuppa. He wanted more. Against good counsel backed by research which said that branded coffee will not find success, he ventured yet again. At a time when coffee was made out of filters, he set up 20 stores in Bangalore which sold only coffee powder. As it was foretold, it saw limited success. Hot, steaming coffee with a side of Internet Like every visionary, he saw that having coffee is not just about the product. It was about providing an experience. As the café culture picked up internationally, he went ahead and set up cafes and added a topping---Internet. His plan of building coffee houses which also doubled as Internet cafes took care of both the basic necessities of Bangaloreans. And, the first such store came into being in the most fashionable area of the city, Brigade Road. As it the city itself turned into an IT hub from a pensioner’s paradise, he minted millions--one cup at a time. The golden cage In good times, his networth was just over a $1 billion. As of now, Cafe Coffee Day is one of the biggest coffee chains in the world with over 1,772 outlets India and others like Egypt, Malaysia, Czech Republic and Nepal. The investment banker’s own venture Sivan Securities, re-named as Way2Wealth has been piling up debt, while clocking in losses. It is known to have a debt of ₹168 crore as on March 2018. He was also stressed by the hostile takeover of Mindtree buyout. As the promoters struggled to stay in control, infrastructure major L&amp;T had been buying out investors, and eventually succeeded. In his letter, Siddhartha also said that the IT department had tried to block the sale of his shares, in spite of filing revised returns. Siddhartha’s spiral was fast. The debt on Coffee Day Enterprises ballooned 1.5 times in the last three years and the pressure on him was intense. Even as Indian policymakers celebrate new bankruptcy laws -- which promise to make liquidation of businesses easier-- the disappearance of India’s most-famous coffee baron is a sign that business failures can quickly turn fatal. SEE ALSO <a href="https://www.businessinsider.in/business/full-profile-of-cafe-coffee-day-founder-v-g-siddhartha/articleshow/70445413.cms">Full text of the letter written by Cafe Coffee Day founder VG Siddhartha before he went missing</a> <a href="https://www.businessinsider.in/markets/cafe-coffee-day-share-price-down-20-after-founder-vg-siddhartha-goes-missing/articleshow/70445091.cms">Cafe Coffee Day shares have lost ₹800 crore in value after founder VG Siddhartha goes missing</a>

India’s coffee king V G Siddhartha’s journey from silver spoon to a gilded cage

<ul><li>Mangaluru police recovered the body of V G Siddhartha, the founder of CCD who was missing since Monday. </li><li>He was rumoured to have committed suicide. </li><li>The authorities found the body at 6.30 am, as per media reports. Earlier, a fisherman claimed that he might have seen a man jumping into the Netravathi river from the bridge. </li></ul>Mangaluru police recovered the dead body of V G Siddhartha, the founder of India's iconic coffee chain Cafe Coffee Day, after a 36 hour search operation. <a href="https://www.businessinsider.in/cafe-coffee-day-share-price-down-20-after-founder-vg-siddhartha-goes-missing/articleshow/70445091.cms">He went missing on</a> Monday night, and was rumoured to have committed suicide. "We found the body early morning today. It needs to be identified; we have already informed the family members. We are shifting the body to Wenlock Hospital. We will continue the further investigation," Mangaluru Police Commissioner Sandeep Patil <a href="https://www.ndtv.com/india-news/cafe-coffee-day-founder-vg-siddharthas-body-found-two-days-after-he-went-missing-2077873">said</a>. The authorities found the body at 6.30 am, as per media reports. Earlier, a fisherman claimed that he might have seen a man jumping into the Netravathi river from the bridge. Siddhartha went declared missing on Monday night after his driver couldn't reach him. He reached Mangaluru at 8 pm in his SUV and asked the driver to drop him at the bridge in Ullal. The Mangaluru city police started a search operation, looking for a man who might have jumped off a kilometer-long bridge in Ullal. He also left <a href="https://www.businessinsider.in/business/cafe-coffee-day-founder-vg-siddhartha-letter-to-board-of-directors/articleshow/70443951.cms">a letter to his employees that said</a>, "I fought for a very long time but today I gave up as I could not take any more pressure from one of the private equity partners forcing me to buy back shares, a transaction I had partially completed six months ago by borrowing a large sum of money from a friend." Shares of Cafe Coffee Day <a href="https://www.businessinsider.in/cafe-coffee-day-share-price-down-20-after-founder-vg-siddhartha-goes-missing/articleshow/70445091.cms">slipped by 20%</a>, to trade at ₹154 yesterday ever since the news of V G Siddhartha went missing, broke. (with IANS) See also: <a href="https://www.businessinsider.in/vg-siddhartha-and-other-coffee-day-promoters-pledged-shares/articleshow/70446808.cms">Over 75% of shares owned by VG Siddhartha and other promoters in Coffee Day Enterprises were pledged with creditors-- and they are worth much lesser toda</a> <a href="https://www.businessinsider.in/business/full-profile-of-cafe-coffee-day-founder-v-g-siddhartha/articleshow/70445413.cms">India’s coffee king V G Siddhartha’s journey from silver spoon to a gilded cage</a>

CCD founder V G Siddhartha’s dead body recovered by the police

Mumbai, Feb 6 () Coffee Day Enterprises Ltd (CDEL) on Thursday said a report is likely to be tabled shortly on the investigation into the circumstances that led to alleged suicide of the company's chairman V G Siddhartha. In a filing to stock exchanges, the company said it was confident of the future ahead despite the recent developments and has received unconditional support from its employees, shareholders and partners. Siddhartha was confirmed dead on July 31, 2019 after his body was found in the Netravati river in Dakshina Kannada district of Karnataka, a day after he went missing. CDEL founder Siddhartha had written a purported letter dated July 27 alleging harassment by the income tax department. Last August, retired CBI DG Ashok Kumar Malhotra was appointed to investigate into the circumstances leading to statements made in the letter of the Siddhartha, and to scrutinise the books of accounts of the company and its subsidiaries. "The said assignment is under progress and has taken long time due to coverage of as many as 48 subsidiary companies and the investigation report is likely to be tabled shortly. "The delay in submission of limited review financials for the last two quarters is mainly due to non-completion of investigation report. The limited review financials will be submitted after the completion of investigation report which will help invoke the suspension of trading in the stock exchange," the filing said. Coffee Day Global Ltd (CDGL) -- a subsidiary of CDEL -- has mandated Deloitte only for the limited purpose of Vendor Due Diligence (VDD) with respect to proposed stake sale and not for conducting any forensic audit of the vendors or any transactions of CDEL with any other entity, the filing said. As per the filing, VDD is a terminology used to describe a process undertaken by the seller for the purpose of carrying out an independent review of an entity for the benefit of prospective investors/PE Fund. "For the record, the coffee retailing business is part of CDGL and not Cafe Coffee Day (CCD), which is only a brand name of the cafes," it added. Regarding CDEL, the filing said debt levels have reduced from Rs 7,200 crore at the beginning of the current fiscal to around Rs 4,800 crore. The company is looking forward to end the financial year 2019-20 with a reduced debt levels of Rs 1,800 crore, it added. BEN MKJ

Siddhartha's case: Coffee Day says probe report likely shortly

<ul><li>The shares of Coffee Day Enterprise slipped by a massive 19.9% in early trade. </li><li>It was trading at a new low of ₹123.25 after the news about the founder's death surfaced this morning. </li><li><keyword id="808597" type="COMPANY" weightage="20" keywordseo="VG-Siddhartha">VG Siddhartha</keyword>, the founder, and CEO of Cafe Coffee day was missing since Monday evening. </li></ul>The shares of Coffee Day Enterprise <a href="https://www.bseindia.com/stock-share-price/coffee-day-enterprises-ltd/coffeeday/539436/">slipped by a massive 19.9%</a> in early trade. It was trading at a new low of ₹123.25 after the news about the founder's death surfaced this morning. VG Siddhartha, the founder, and CEO of Cafe Coffee day was missing since Monday evening. The police conducted a massive search operation until this morning. They recovered a body which is believed to be of the <keyword id="7925798" type="UNKNOWN" weightage="20" keywordseo="ccd-founder">CCD founder</keyword>. The company<a href="https://www.businessinsider.in/business/cafe-coffee-day-founder-vg-siddhartha-letter-to-board-of-directors/articleshow/70443951.cms"> had an outstanding debt of ₹6547 crore</a> as of March 2019. Siddhartha was under heavy pressure as he held three-fourths of his company’s shares. "Today I gave up as I could not take any more pressure from one of the private equity partners forcing me to buy back shares,”<a href="https://www.businessinsider.in/business/cafe-coffee-day-founder-vg-siddhartha-letter-to-board-of-directors/articleshow/70443951.cms"> Siddhartha told his employees</a>, in a letter which has been doing the rounds since yesterday. Siddhartha had blamed private equity players, and the tax authorities in the letter. Country's stock regulatory board, Securities and Exchange Board of India (SEBI) <a href="https://economictimes.indiatimes.com/markets/stocks/news/ccd-crisis-private-equity-players-independent-directors-under-sebi-scanner/articleshow/70456581.cms">has already started looking into </a>private equity players, or any lapses that may have occurred. It is also monitoring the trading patterns of the company. Yesterday, the value of all outstanding shares fell by nearly ₹800 crore after the company <a href="https://www.bseindia.com/corporates/anndet_new.aspx?newsid=ace305f9-bdb6-452c-a07f-8a8f133606ea">stated on BSE </a>that their founder is not reachable. See also: <a href="https://www.businessinsider.in/full-profile-of-cafe-coffee-day-founder-v-g-siddhartha/articleshow/70445413.cms">India’s coffee king V G Siddhartha’s journey from silver spoon to a gilded cage</a> <a href="https://www.businessinsider.in/vg-siddhartha-and-other-coffee-day-promoters-pledged-shares/articleshow/70446808.cms">Over 75% of shares owned by VG Siddhartha and other promoters in Coffee Day Enterprises were pledged with creditors-- and they are worth much lesser toda</a>y

Cafe Coffee Day shares lose another ₹700 crore value after founder Siddhartha's dead body surfaces

<ul><li>The total debt of Coffee Day Enterprises was ₹6,547 crore at the end of March 2019.</li><li>Over three-fourths of all shares held promoters were either pledged or encumbered, according to data from BSE.</li><li>The stock of Coffee Day Enterprises fell 20% after Siddhartha's disappearance, further depleting the value of shares held by the creditors.</li></ul>The pressure on Cafe Coffee Day founder VG Siddhartha was back breaking. Before he went missing on Monday (July 29), he allegedly left a letter for the Board of Directors at Coffee Day Enterprises, which has businesses ranging from coffee chain to hospitality and financial services, listing out the reasons for disappearance. The company had a total debt of ₹6,547 crore at the end of March 2019. And more than three-fourths of all the Coffee Day shares held by Siddhartha, his family and his other companies were already pledged to the company's creditors, according <a href="https://www.bseindia.com/corporates/shpPromoterNGroup.aspx?scripcd=539436&amp;qtrid=102.00&amp;QtrName=June%202019" data-type="tilCustomLink" target="_blank">to data sourced from the BSE</a>. 
<table style="width: 366pt;"> <colgroup></colgroup><col /> <col /> <tbody><tr> <td class="xl69" style="height:15.75pt;width:182pt">Promoter Entity</td> <td class="xl70" style="width:184pt">Pledged shares as a % of total holding</td> </tr> <tr> <td class="xl67" style="height: 15pt; width: 182pt;">V. G. Siddhartha</td> <td class="xl68" style="border-left-width: initial; border-left-style: none; width: 184pt;">71.40%</td> </tr> <tr> <td class="xl63" style="height: 15pt; border-top-width: initial; border-top-style: none; width: 182pt;">Malavika Hegde</td> <td class="xl65" style="border-top-width: initial; border-top-style: none; border-left-width: initial; border-left-style: none; width: 184pt;">65.27%</td> </tr> <tr> <td class="xl63" style="height: 15pt; border-top-width: initial; border-top-style: none; width: 182pt;">Devadarshini Info Technologies Pvt Ltd</td> <td class="xl65" style="border-top-width: initial; border-top-style: none; border-left-width: initial; border-left-style: none; width: 184pt;">83.08%</td> </tr> <tr> <td class="xl63" style="height: 15pt; border-top-width: initial; border-top-style: none; width: 182pt;">Coffee Day Consolidations Pvt Limited</td> <td class="xl65" style="border-top-width: initial; border-top-style: none; border-left-width: initial; border-left-style: none; width: 184pt;">95.94%</td> </tr> <tr> <td class="xl63" style="height: 15pt; border-top-width: initial; border-top-style: none; width: 182pt;">Gonibedu Coffee Estates Pvt Ltd</td> <td class="xl65" style="border-top-width: initial; border-top-style: none; border-left-width: initial; border-left-style: none; width: 184pt;">78.94%</td> </tr> <tr> <td class="xl63" style="height: 15pt; border-top-width: initial; border-top-style: none; width: 182pt;">Sivan Securities Private Limited</td> <td class="xl65" style="border-top-width: initial; border-top-style: none; border-left-width: initial; border-left-style: none; width: 184pt;">99.99%</td> </tr> <tr> <td class="xl64" style="height: 15.75pt; border-top-width: initial; border-top-style: none; width: 182pt;">Total</td> <td class="xl66" style="border-top-width: initial; border-top-style: none; border-left-width: initial; border-left-style: none; width: 184pt;">75.70%</td> </tr></tbody></table> Anyone can use shares as a collateral for a loan when they are need in need of money. If the borrower fails to repay, the bank, or any other lender, can sell the shares 'pledged' with them in exchange for the loan to recover the amount. However, the seller can only get the market rate for the shares. As the news of Siddhartha's disappearance broke, shares of Cafe Coffee Day <a href="https://www.bseindia.com/stock-share-price/coffee-day-enterprises-ltd/coffeeday/539436/">fell 20</a>% further depleting the value of the shares held by the lenders. The value of all outstanding shares fell by nearly ₹800 crore. taking the <a href="https://www.business-standard.com/article/companies/coca-cola-in-talks-to-pick-stake-in-cafe-coffee-day-after-pocketing-costa-119062700063_1.html">company's market capitalisation to less than half of its total debt</a> at the end of the last financial year. "This is to inform you that, Mr. V G Siddhartha, Chairman and Managing Director of Coffee Day Enterprises Limited is not reachable since yesterday evening, " <a href="https://www.bseindia.com/corporates/anndet_new.aspx?newsid=ace305f9-bdb6-452c-a07f-8a8f133606ea">read a </a>statement on BSE. The company further assured that they are taking the help of the concerned authorities to find the Siddhartha. CCD also said the company would continue to run by the leadership team. The Mangaluru Police suspect that the coffee baron may have jumped off the Ullal bridge on Monday night. The news agency, ANI, also posted the last letter allegedly written by VG Siddhartha addressing his employees. 
 <div type="Article" hostid="261" msid="70443951" title="Full text of the letter written by Cafe Coffee Day founder VG Siddhartha before he went missing" mstype="2" mssubtype="0"></div>



 Mangaluru City Police started a search operation at 9 pm to look for a man who might have jumped off a kilometer-long bridge in Ullal. According to the report, Siddhartha may be the missing 'man' since he reached Mangaluru at 8 pm in his SUV and ask the driver to drop him at the bridge in Ullal. VG Siddhartha came from a coffee-growing family, <a href="https://www.businessinsider.in/business/full-profile-of-cafe-coffee-day-founder-v-g-siddhartha/articleshow/70445413.cms" data-type="tilCustomLink" target="_blank">which owned 15,000 acres of coffee estate in Chikmagalur</a> in Karnataka. He launched the first Cafe Coffee Day (CCD) outlet on Brigade Road in Bengaluru. The chain currently has 1,750 outlets and over 60,000 vending machines spread over Nepal, Malaysia, Czech Republic, and Egypt, <a href="http://www.coffeeday.com/PDF/Coffee_Day_Annual_report_2018.pdf">aside from 245 cities in India. </a> The 58-year-old entrepreneur was in talks with Coca-Cola to sell considerable stake in his coffee chain. The deal was <a href="https://www.businesstoday.in/current/corporate/coca-cola-coke-cafe-coffee-day-ccd-stake-sale-beverage-maker-indias-largest-coffee-chain/story/359387.html">supposed to be closed</a> by the end of March 2020. The coffee baron had reportedly been <a href="https://www.livemint.com/companies/news/why-v-g-siddhartha-went-with-l-t-ignoring-mindtree-promoters-1553710517498.html">cornered by a cash crunch</a> after the default by infrastructure lending giant IL&amp;FS triggered a liquidity crisis in the country. Siddhartha had to sell his 20.4% stake in the IT firm Mindtree to L&amp;T against the wishes of Mindtree’s founders who Siddhartha had backed since 1999. SEE ALSO: <a href="https://www.businessinsider.in/full-profile-of-cafe-coffee-day-founder-v-g-siddhartha/articleshow/70445413.cms" data-type="tilCustomLink" target="_blank">India’s coffee king V G Siddhartha’s journey from silver spoon to a gilded cage</a>

Over 75% of shares owned by VG Siddhartha and other promoters in Coffee Day Enterprises were pledged with creditors-- and they are worth much lesser today

<ul><li>Shares of Cafe Coffee Day running 20% down, to trade at ₹154.05 ever since <keyword id="808597" type="COMPANY" weightage="20" keywordseo="VG-Siddhartha">VG Siddhartha</keyword>, the founder, and CEO went missing. </li><li>The value of all outstanding shares is down by nearly ₹800 crore. </li><li>The company’s total debt at the end of March 2019 was ₹6,547 crore. </li></ul>Shares of Cafe Coffee Day <a href="https://www.bseindia.com/stock-share-price/coffee-day-enterprises-ltd/coffeeday/539436/">running 20% down, to trade at ₹154.05</a> ever since VG Siddhartha, the founder, and CEO of the company went missing. The value of all outstanding shares is down by nearly ₹800 crore. The <a href="https://www.business-standard.com/article/companies/coca-cola-in-talks-to-pick-stake-in-cafe-coffee-day-after-pocketing-costa-119062700063_1.html">company's market capitalisation was less than half of the total debt</a> of ₹6,547 crore at the end of March 2019. "This is to inform you that, Mr. V G Siddhartha, Chairman and Managing Director of Coffee Day Enterprises Limited is not reachable since yesterday evening, " <a href="https://www.bseindia.com/corporates/anndet_new.aspx?newsid=ace305f9-bdb6-452c-a07f-8a8f133606ea">read a </a>statement on BSE. The company further assured that they are taking the help of the concerned authorities to find the Siddhartha. CCD also said the company would continue to run by the leadership team. The Mangaluru Police suspect that the coffee baron may have jumped off the Ullal bridge on Monday night. The news agency, ANI, also posted the last letter allegedly written by VG Siddhartha addressing his employees. See also: <a href="https://www.businessinsider.in/business/cafe-coffee-day-founder-vg-siddhartha-letter-to-board-of-directors/articleshow/70443951.cms">Full text of the letter written by Cafe Coffee Day founder VG Siddhartha before he went missing</a> Mangaluru City Police started a search operation at 9 pm to look for a man who might have jumped off a kilometer-long bridge in Ullal. According to the report, Siddhartha may be the missing 'man' since he reached Mangaluru at 8 pm in his SUV and ask the driver to drop him at the bridge in Ullal. VG Siddhartha came from a coffee-growing family, which owned 15,000 acres of coffee estate in Chikmagalur in Karnataka. He launched the first Cafe Coffee Day (CCD) outlet on <keyword id="18382" type="ORGANIZATION" weightage="20" keywordseo="brigade-road">Brigade Road</keyword> in Bengaluru. The chain currently has 1,750 outlets and over 60,000 vending machines spread over Nepal, Malaysia, Czech Republic, and Egypt, <a href="http://www.coffeeday.com/PDF/Coffee_Day_Annual_report_2018.pdf">aside from 245 cities in India. </a> The 58-year-old entrepreneur was in talks with Coca-Cola to sell considerable stake in his coffee chain. The deal was <a href="https://www.businesstoday.in/current/corporate/coca-cola-coke-cafe-coffee-day-ccd-stake-sale-beverage-maker-indias-largest-coffee-chain/story/359387.html">supposed to be closed</a> by the end of March 2020. The coffee baron had reportedly been <a href="https://www.livemint.com/companies/news/why-v-g-siddhartha-went-with-l-t-ignoring-mindtree-promoters-1553710517498.html">cornered by a cash crunch</a> after the default by infrastructure lending giant IL&amp;FS triggered a liquidity crisis in the country. Siddhartha had to sell his 20.4% stake in the IT firm <keyword id="6357902" type="COMPANY" weightage="20" keywordseo="mindtree">Mindtree</keyword> to L&amp;T against the wishes of Mindtree’s founders who Siddhartha had backed since 1999. (Correction: The market cap loss wrongly pegged at ₹8000 crore earlier has been corrected to ₹800 crore) See also: <a href="https://www.businessinsider.in/vg-siddhartha-founder-of-cafe-coffee-day-and-son-in-law-of-ex-karnataka-cm-sm-krishna-is-missing/articleshow/70443830.cms">Coffee baron VG Siddhartha, the founder of India's iconic chain Cafe Coffee Day, is missing</a>

Cafe Coffee Day shares have lost ₹800 crore in value after founder VG Siddhartha goes missing

New Delhi, Jan 29 () Coffee Day Enterprises on Wednesday reported unaudited management compiled consolidated net loss of Rs 190.02 crore for the second quarter ended September 2019.
 The company, which runs the Cafe Coffee Day chain, had a consolidated net profit of Rs 23.83 crore in the year-ago period.
 Consolidated revenue from operations during the second quarter stood at Rs 843.16 crore as compared to Rs 979.73 crore in the same period last fiscal, it said.
 In a regulatory filing, Coffee Day Enterprises said the investigation into the circumstances leading to the statements of its former chairman, late V G Siddhartha, in his suicide letter and scrutiny of the books of accounts of the company is under progress and is likely to take a few more weeks.
 As a result, there will be a delay in submission of unaudited financial results with limited review by auditor for the first and second quarters along with half-year of the ongoing fiscal.
 Hence, the company's board in their meeting held on Wednesday approved disclosing "unaudited management compiled standalone and consolidated profit and loss account and segment wise performance for the second quarter ended September 30, 2019 along with financial highlights", it said.
 The group is currently in the process of preparing consolidated financial results for the quarter ended June 30, 2019 and quarter and half-year ended September 2019 in terms of SEBI (Listing Obligation and Disclosure Requirement) Regulations, 2015, it said.
 "The aforementioned consolidated financial results shall be submitted to the stock exchanges upon completion of ongoing investigation," the company added. RKL ABM

Coffee Day Enterprises reports Q2 net loss of Rs 190 cr

<div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5d415a04100a242f2b3fa272-2000/coffee king .jpg" border="0" alt="India's 'Coffee King' V.G. Siddhartha" data-mce-source="Reuters" />Reuters</div></div></div><ul><li>The body of <a href="https://markets.businessinsider.com/news/stocks/india-coffee-king-vg-siddhartha-missing-under-debt-pressure-2019-7-1028399953">India's missing 'coffee king'</a> was found by a fisherman on Wednesday morning.</li><li>V.G. Siddhartha, the creator of India's largest coffee chain, told his driver he was going for a walk on Monday night but didn't return.</li><li>The Coffee Day founder appeared to be under pressure from partners, lenders, and tax officials.</li><li><a href="https://markets.businessinsider.com/stocks/coffee_day_enterprises-stock">Watch Coffee Day trade live</a>.<hr /></li></ul>The body of <a href="https://markets.businessinsider.com/news/stocks/india-coffee-king-vg-siddhartha-missing-under-debt-pressure-2019-7-1028399953">India's missing 'coffee king'</a> was found by a fisherman on Wednesday morning.V.G. Siddhartha, the founder of India's largest coffee chain, <a href="https://markets.businessinsider.com/stocks/coffee_day_enterprises-stock?utm_source=markets&amp;utm_medium=ingest">Coffee Day</a>, told his driver he was going for a walk on Monday night but didn't return. Coffee Day's board released a letter apparently penned by Siddhartha, in which he described mounting pressure from lenders, tax officials, and a private-equity partner. Some have questioned its authenticity.Siddhartha complained of a "serious liquidity crunch" in the letter. "I have failed to create the right profitable business model despite my best efforts," he wrote. "I gave it my all but today I gave up as I could not take any more pressure."Shares in Coffee Day plunged another 20% on Wednesday, after slumping 20% on Tuesday. The company's future is now in doubt, given Siddhartha, his wife, and companies tied to them controlled about 53% of Coffee Day's equity, <a href="https://www.ft.com/content/2ec8b07c-b27f-11e9-8cb2-799a3a8cf37b">according to the Financial Times</a>. About 41% of Coffee Day's equity has been pledged as collateral to various lenders, the FT said. The company's debt surged 29% to 65.5 billion rupees ($950 million) in the year to March, Bloomberg said.<a href="https://www.businessinsider.com/intelligence/future-of-fintech?IR=T&amp;itm_source=businessinsider&amp;itm_medium=ctgr_bii&amp;itm_term=ctgr_leadgen&amp;itm_content=finance&amp;itm_campaign=future-of-fintech-2"><img src="https://static.businessinsider.com/image/5d3716eea209d36f2475b70f" alt="Exclusive FREE Report: The Future of Fintech by Business Insider Intelligence" border="0" style="width: 100% !important" /></a>

The body of India's missing 'coffee king' has been found

<ul><li><keyword id="308865" type="PERSON" weightage="20" keywordseo="Piyush-Kumar">Piyush Kumar</keyword>, co-founder and CEO of sports tech startup <keyword id="3756169" type="PERSON" weightage="20" keywordseo="Rooter">Rooter</keyword>, started going to <keyword id="32462" type="PERSON" weightage="20" keywordseo="therapy">therapy</keyword> in May 2020. </li><li>Near death moments are basically those times in a startup journey when because of any reason – the situation, product or funding you fear that you are nearing the end of your startup.</li><li>Here’s why Kumar recommends therapy to many other struggling founders out there.</li></ul>When Cafe Coffee Day founder V. G. Siddhartha took the extreme step and died by suicide, the Indian startup ecosystem sat up and took notice of the pressures of building a business. One year since that incident, and <keyword id="6354774" type="ORGANIZATION" weightage="20" keywordseo="Mental-health">mental health</keyword> is still a hush-hush topic and going to therapy continues to be perceived as an option for only when you are ‘sick’. During the coronavirus lockdown, the need for therapy has only gone up with people stuck inside their homes feeling more anxious and uncertain about their future. But this entrepreneur doesn’t want to take mental health as a joke. Piyush Kumar, co-founder and CEO of sports tech startup Rooter, started going to therapy in May 2020, and his advice to fellow entrepreneurs is to start taking mental health seriously. Handling the near death moments When Piyush Kumar was starting up his sports tech startup Rooter, he read a quote by one of India’s startup leaders – every startup goes through three-four near death moments, and the startup that survives all of it, eventually goes on to be successful. While Kumar didn’t understand it then, in 2018 and 2019, he went through similar crisis situations. “Near death moments are basically those times in a startup journey when because of any reason – the situation, product or funding you fear that you are nearing the end of your startup,” Kumar told Business Insider. In 2018, Kumar went through a tough period for six-seven months where his startup wasn’t able to raise money and the product was not going in the right direction. “A good friend’s wife who is a psychologist recommended therapy. But I told her that I play a lot of sports – five days a week and spend a lot of time with my four-year old son, that should help me. But she told me then, that there will be a time when you’ll need more than this,” he said. How therapy helped When the coronavirus pandemic began, Rooter was just about to sign its funding term sheet with Paytm and the sports startup was left in a situation where sports had stopped. What followed was six weeks of stress, where Kumar was working for 18-20 hours a day – working on the product, ensuring a smooth transition to work from home for his team and concluding the investment discussion. While Kumar and his team managed to do it all and raised $1.7 million from Paytm, leAD Sports, Rockstud Capital and Founder Bank Capital, the startup founder realised therapy was important. “I started going for therapy when things were good, when we had successfully launched a new product and raised funding. I started because just like I concentrate on physical exercise, I wanted to pay attention to mental health as well,” he said. While in the West, entrepreneurs have been more open to therapy, that has not been the case in India. In the West, there are <a href="https://www.theverge.com/2020/3/18/21183555/co-founder-therapy-counseling-tech-bros-feelings-silicon-valley">even startups</a> that help other founders reach out for emotional well-being. Kumar, who had not been diagnosed with depression or sleep disorders, turned to therapy to handle the pressure of his job. “A lot of people think that if you have great friends or a great partner, they will be able to handle your mental pressure but most of the time that is not the case because anybody who knows you will have a certain bias. Therapy has helped me prepare for the future because as a startup founder, you know there will be those times in the future again,” he said. SEE ALSO: <a href="https://www.businessinsider.in/business/news/zomato-has-doubled-its-revenue-but-founder-founder-deepinder-goyal-says-covid-19-has-made-the-company-lean-and-mean/articleshow/76893760.cms">Zomato has doubled its revenue and founder Deepinder Goyal says COVID-19 has made the company lean and mean</a> <a href="https://www.businessinsider.in/business/startups/news/unicorns-like-byjus-first-cry-and-zomato-got-a-big-chunk-of-startup-funding-in-2020/articleshow/76868237.cms">Unicorns⁠ like Byju’s, First Cry, and Zomato bagged one in every three dollars invested in startups this year</a>

This Indian entrepreneur started going to therapy and recommends it to startup founders to survive the ‘near death’ moments in business

<div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/59e47f8cd4e9200c058b56d8-2400/ap947611017716.jpg" border="0" alt="pakistan" data-mce-source="AP/Fareed Khan" data-mce-caption="Pakistan army troops arrive at Karachi airport following an attack by unknown gunmen disguised as police guards who stormed a terminal used for VIPs and cargo, Sunday night, June 8, 2014, in Pakistan. " />AP/Fareed KhanPakistan army troops.</div></div></div><ul class="summary-list"><li>Pakistan has readied its military and alerted its hospitals to stand by to receive wounded troops as tensions rise in anticipation of war with its nuclear rival, India. </li><li>A Pakistan-based Muslim separatist group carried out a massive terror attack in Indian-administered Kashmir, a contested region the two countries have already fought two wars over.</li><li>India and Pakistan both built nuclear arsenals to counter each other, and now appear on the brink of war.</li><li>Statements from China and the US indicate the two larger nuclear powers may already be picking sides in a potential fight. </li></ul>Pakistan has readied its military and alerted its hospitals to stand by to receive wounded troops as tensions rise after its nuclear rival and neighbor India,<a href="https://www.businessinsider.com/indias-modi-unleashes-military-on-pakistan-after-pulwama-terrorism-2019-2" target="_blank" rel="noopener"> unleashed its military to extract vengeance</a> after a terror attack in Kashmir left 44 dead. India and Pakistan both claim the border region of Kashmir, but administer different parts of the disputed territory the countries have already fought two wars over.A Muslim separatist group, called Jaish-e-Mohammed and based in Pakistan, took responsibility for the terror attack, but India has accused Pakistan of having official involvement. <div class="KonaFilter image-container display-table float_right"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/567b0638c08a80e01b8b4959-945/kashmir map.jpg" border="0" alt="Kashmir map" data-mce-source="Reuters" />Reuters</div></div></div>Indian Prime Minister Narendra Modi responded to the attack by saying his country's "blood boils" and that he had set the military free to respond however it saw fit. Pakistan then wrote to hospitals on February 20 to arrange a plan for medical support in the event that fighting breaks out, <a href="https://timesofindia.indiatimes.com/world/pakistan/pak-army-begins-preparations-for-conflict-tells-hospitals-to-be-ready/articleshow/68104050.cms" target="_blank" rel="noopener">the Times of India reported</a>. The letter called for hospitals to earmark 25% of their beds for injured soldiers, to prepare for expanding their capacity to house patients, and to plan on shifting them around and away from the front lines during fighting, according to the Times of India. "We have no intention to initiate war, but we will respond with full force to full spectrum threat that would surprise you," Army spokesman Major General Asif Ghafoor told Reuters from the city of Rawalpindi. "Don't mess with Pakistan."<h2>Nuclear rivals on the brink</h2><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5a1499633dbef425008b79ba-2000/ap17082390885858.jpg" border="0" alt="pakistan nuclear weapons" data-mce-source="Anjum Naveed/AP" data-mce-caption="A Pakistani-made Shaheen-III missile, that is capable of carrying nuclear warheads, is on display during a military parade to mark Pakistan's Republic Day, in Islamabad, Pakistan." data-link="http://www.apimages.com/metadata/Index/Pakistan/117ec1fbc38241e4b69e0f271e5e4b68/7/0" /><a href="http://www.apimages.com/metadata/Index/Pakistan/117ec1fbc38241e4b69e0f271e5e4b68/7/0">Anjum Naveed/AP</a>A Pakistani-made Shaheen-III missile, that is capable of carrying nuclear warheads, is on display during a military parade to mark Pakistan's Republic Day, in Islamabad, Pakistan.</div></div></div>The UN on Friday "condemned in the strongest terms the heinous and cowardly suicide bombing" in Kashmir and called out Jaish-e-Mohammed by name. Pakistan banned Jaish-e-Mohammed in 2002, but on Friday, they knew exactly where to find the terror group. Authorities "took control" of the terror group in Bahawalpur and appointed an administrator to look after its affairs, according to its government. Jaish-e-Mohammed headquarters hosted a seminary with 600 students and 70 teachers, it said. The Kashmir issue and other regional issues have kept India and Pakistan on the edge of war for decades, but in recent years things have taken a turn for the worse.Read more: <a href="https://www.businessinsider.com/trump-rejects-nationalizing-5g-weakens-us-hand-against-huawei-china-2019-2" data-analytics-position="1">Trump's rejection of 'socialism' makes America weak in the fight for 5G against China's Huawei</a>Today, both Pakistan and India have grown in nationalist fervor, with online militias on Facebook and elsewhere lusting for blood and mocking each other's militaries and nations.India and Pakistan developed nuclear arsenals to deter each other from fighting, but small cross border raids and violence have been common for years.Furthermore, both Pakistan and India's nuclear-armed backers have taken sides in the conflict already. <h2>China and US picking sides?</h2><div class="KonaFilter image-container display-table"><div><div class="image on-image"><img src="https://static-ssl.businessinsider.com/image/5a60c851f4214957438b5577-1400/rtr3cyyh.jpg" border="0" alt="India intercontinental ballistic missile Agni 5 launcher" data-mce-source="REUTERS/B Mathur" data-mce-caption="A surface-to-surface Agni V missile during the Republic Day parade in New Delhi, January 26, 2013." />REUTERS/B MathurA surface-to-surface Agni V missile during the Republic Day parade in New Delhi, January 26, 2013.</div></div></div>China tried to block the UN statement condemning Jaish-e-Mohammed and <a href="https://timesofindia.indiatimes.com/world/china/china-indicates-it-wont-budge-on-masood-azhar-issue/articleshow/68118223.cms" target="_blank" rel="noopener">bizarrely downplayed the statement in its state-run media</a> while US National Security Adviser to President Donald Trump, John Bolton, <a href="https://twitter.com/AmbJohnBolton/status/1096743998625062912" target="_blank" rel="noopener">defended India's right to self defense</a> and called for Pakistan to crack down on the group, suggesting Pakistan provided safe haven for terrorists.Pakistan famously hosted Osama Bin Ladin for years before a 2011 US raid took him out in Abbottabad. Iran blamed a terror attack that killed 27 members of its elite Revolutionary Guards on a Pakistan man in February. Read more: <a href="https://www.businessinsider.com/trump-officials-sought-to-help-saudi-arabia-build-nuclear-weapons-2019-2" data-analytics-position="2">Trump's administration reportedly looked for ways to help Saudi Arabia build a nuclear weapon</a>India's Modi seeks re-election this year and has built a name for himself as a strong Hindu nationalist. Christopher Clary, an international affairs expert and professor at the Rockefeller College of Public Affairs &amp; Policy at the University of Albany, <a href="https://www.businessinsider.com/indias-modi-unleashes-military-on-pakistan-after-pulwama-terrorism-2019-2" target="_blank" rel="noopener">previously told Business Insider</a> the situation could quickly spiral out of control due to political pressure on both sides."We don't have that many countries with nuclear weapons that share a common border, so things can get pretty hairy," said Clary. <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/twin-brothers-chicago-helped-take-down-el-chapo-margarito-pedro-flores-wives-cocaine-traffickers2017-6">The wives of high-level cocaine traffickers reveal how their husbands took down 'El Chapo'</a></h3> <div> <iframe class="bijwplayerclass" data-player="jwplayer" src="https://content.jwplatform.com/players/itx8IEnZ-CEZHWCBG.html" width="100%" height="100%" frameborder="0" scrolling="auto" style="margin:0px;" allowfullscreen=""></iframe><script>function receiveMessage(event){ console.log(event.data.fullscreen); Android.fullscreen(event.data.fullscreen); }window.addEventListener("message", receiveMessage, false);</script> </div> </div>

You Searched For "v g siddhartha suicide letter" and got 10 results

India’s coffee king V G Siddhartha’s journey from silver spoon to a gilded cage

Katya Naidu

CCD founder V G Siddhartha’s dead body recovered by the police

Preeti Soni

Siddhartha's case: Coffee Day says probe report likely shortly

PTI

Cafe Coffee Day shares lose another ₹700 crore value after founder Siddhartha's dead body surfaces

Preeti Soni

Over 75% of shares owned by VG Siddhartha and other promoters in Coffee Day Enterprises were pledged with creditors-- and they are worth much lesser today

Sriram Iyer

Cafe Coffee Day shares have lost ₹800 crore in value after founder VG Siddhartha goes missing

Preeti Soni

Coffee Day Enterprises reports Q2 net loss of Rs 190 cr

PTI

The body of India's missing 'coffee king' has been found

Theron Mohamed

This Indian entrepreneur started going to therapy and recommends it to startup founders to survive the ‘near death’ moments in business

Sanchita Dash

Pakistan readies military, hospitals for war with its nuclear rival India after Pulwama terror attack

Alex Lockie