SBUX Starbucks Corporation

By Eric Bellman and Rajesh Roy 

Indian authorities found the body of India's coffee king, V.G. Siddhartha--whose disappearance triggered an investigation--in a river in the southern city of Mangalore.

Mr. Siddhartha--who built India's answer to Starbucks Corp. and was worth $600 million last year according to estimates by the Barclays Hurun India Rich List--was last seen walking across a bridge Monday evening. Tracker dogs later lost Mr. Siddhartha's scent in the middle of the bridge, adding to speculation that he may have died by suicide.

Mr. Siddhartha's body was pulled out of the Netravathi river, state police said. His body has been identified and was sent for an autopsy at a local hospital.

Mr. Siddhartha was chairman and managing director of Coffee Day Enterprises Ltd., the company behind India's biggest coffee chain, Café Coffee Day, which has over 1,700 outlets, more than 10 times the 151 stores Starbucks has in the country.

The company's shares plunged the maximum allowed 20% on Tuesday and its board met to try to reassure investors, employees and customers that business would continue as usual.

The company also released a copy of a letter it said was purportedly from Mr. Siddhartha, addressed to the board and employees, with what looked like Mr. Siddhartha's letterhead and signature.

The letter apologized and took responsibility for the company's profitability and debt problems. It also complained about pressure from the company's investors and tax authorities.

Write to Eric Bellman at eric.bellman@wsj.com and Rajesh Roy at rajesh.roy@wsj.com

(END) Dow Jones Newswires

July 30, 2019 23:56 ET (03:56 GMT)

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