If it fails to secure funds, Mendocino said, the lenders may take "recourse against the applicable pledged collateral which includes the company's real and personal property in the US and the UK".
In its latest quarterly filing with the US market regulator (SEC), Mendocino said, "The board of directors of UBHL during this quarter has approved debt financing to the company in the form of $1,000,000 of bridge loans."
"If UBHL does not consummate such debt financing, it would have a material adverse effect on the company's financial condition and the company's ability to continue to operate."
The company disclosed that its total assets declined to $16 million as of March 31, 2016 - lower than its total liabilities worth more than $18 million. In the quarter ended March 31, it recorded total sales of about $6.9 million, but suffered a net loss of $637,100.
Mallya got a pay package of over Rs 1.7 crore in 2015 from this US-based company, more than half of which was paid by Mendocino to him for "promoting" the company's beer brands. He serves as chairman of the board of directors of the company, which has an exclusive licence to brew and distribute Kingfisher Premium Lager in various countries. (Read: Mallya takes Rs 1.7 crore pay package from his US brewery) Besides, it produces and sells a number of craft beer brands.