KAMDHENU ISPAT LIMITED - Securities and Exchange Board of India

More documents

Recommendations

Info

Our Product Profile The Company derive income from three different activities. (a) Sale of Products manufactured by the Company. (b) Trading of products manufactured by Franchisees under “Kamadhenu” brand. (c) By way of royalities received from Franchisees for using “Kamadhenu” brand. Kamdhenu manufactures undermentioned quality of steel bars. Products of the company meet IS 1786-1985 and ISO 9001:2000 specifications: KIL manufactures following quality of steel bars: CTD BARS: Cold Twisted Deformed Bars having high strength and proof stress produced by High Speed Rolling and precision cold twisting. TMT BARS: Our TMT bars are Thermo-Mechanically treated for high yield strength. The process involves the rapid quenching of hot bars through a series of water jets after they come out of the last rolling mill stand. The bars are cooled allowing the core and surface temperatures to equalize. The bar core cools down slowly to turn into a ferritepearlite aggregate. For determining better quality monitoring of the different layers of the TMT bars at the micro level, the company uses Micro Structure Analysis, we are the first Indian company to do so after TISCO. Our Financials As of 31st August 2005, our total assets were Rs.3049.72 Lacs and for the five months from 1st April 2005 to 31st August 2005 our total turnover including other income was Rs. 5703.92 Lacs and our net profit after tax was Rs 87.96 Lacs. For details refer to “Financial Information” on page [] of the Prospectus. Our Business strategy Kamdhenu has taken a conscious decision to develop and enlarge its business operations by adopting Franchise route. Two type of arrangements have been worked out with Franchisee. Under first model the Company allows the Franchisee unit to manufacture steel bars under the Brand name ‘Kamdhenu” under strict quality regime laid down by the Company. The Franchisee markets the Products at its own using Marketing network of Kamdhenu and paying the Company Royalty on sales per tonne basis. Under other model we have plans to establish our own Stock Yards at various strategic locations and materials required for these yards will be sourced from the nearby Franchisees, who are manufacturers of Kamdhenu Steel TMT/ CTD Bars. For this purpose our Company has already entered into agreements with the franchisees, the details of which are given on page — of this Prospectus in the Chapter titled “Our Business”. The Company will derive following benefits of this strategy: Market share of Kamdhen will go up without investing in manufacturing plants. It would be able to increase its profitability by increased turn-around cycle of available resources. It would be able to derive benefits of handling large volumes. It would get Royalty payments from the Franchisees for use of Kamdhenu brand. KIL proposes to establish the stockyards in leased properties. It is proposed to acquire land at a suitable location. Each stockyard would be managed by a team of 5-6 people. Our Competitive Strengths We believe that the following are our principal competitive strengths, which differentiate us from other Indian steel companies in the same segment We are using“Tempcore Process” which is the most advanced technology worldwide for the manufacturing of the TMT bars. As the plants are based on the upgraded Automatic German Technology the speed of the plant is 32 seconds for manufacturing of TMT Bars. We have a network of more than 1750 dealers and distributors spread across states of Delhi, Haryana, UP, HP, Rajasthan, MP, Punjab, J&K, Goa, Uttaranchal, Tamil nadu, Karnataka, Kerela, Maharashtra etc. Our Product meet IS 1786-1985 and ISO 9001:2000 specifications We aim at decentralization of the production base by strategic tie up/ takeover of unbranded manufacturing units all over the country and convert the same into Kamdhenu brand through technological up-gradation, implementation of Quality Management system and effective distribution through widespread sale depot network. Simultaneous efforts would be made to create consumer awareness for quality construction steel and adopt the policy of “ Best Quality Best Price”. We have talented, skilled and qualified man power to look after different activities at various levels in the organization. The company provides adequate training to staff to keep them updated on all issues related to our Industry. 2
THE ISSUE Equity Shares offered by the Company 1,28,00,000 Equity Shares Of Which: Promoters Contribution in Public Issue 36,74,700 Equity Shares Offer to Public in terms of this Prospectus 91,25,300 Equity Shares Green Shoe Option* 13,68,795 Equity Shares Equity Shares outstanding prior to the Issue 62,11,066 Equity Shares Equity Shares outstanding after the Issue (without exercising Green Shoe option) 1,90,11,066 Equity Shares Equity Shares outstanding after the Issue (with Green Shoe option) 2,03,79,861 Equity Shares Objects of the Issue Please see the section titled “Objects of the Issue” beginning on Page—- of this Prospectus. *The Green Shoe Option will be exercised at the discretion of the Lead Manager and the Company only with respect to the Loaned Shares, who as the Green Shoe Lender has agreed to lend 13,68,795 Equity Shares to the Stabilising Agent, in the event that the Green Shoe Option is exercised by the Stabilising Agent. 3
Page 1 and 2: KAMDHENU ISPAT LIMITED DRAFT PROSPE
Page 3 and 4: DEFINITIONS AND ABBREVIATIONS Gener
Page 5 and 6: Abbreviations Abbreviation Full For
Page 7 and 8: RISK FACTORS An investment in equit
Page 9 and 10: mentioned under Class 1 to 42 cover
Page 11 and 12: (b) Any disruption/ discontinuance
Page 13 and 14: affect our operating results. We ar
Page 15 and 16: The central and state tax scheme in
Page 17: SUMMARY The following summary is qu
Page 21 and 22: of the Stabilisation Period allot,
Page 23 and 24: For the year ended August March Mar
Page 25 and 26: LEGAL ADVISOR TO THE ISSUE Luthra &
Page 27 and 28: 2. Capital Buildup: The existing sh
Page 29 and 30: B. Promoter Group 1. Saurabh Agarwa
Page 31 and 32: Sl. Name of Date of Consid- No. of
Page 33 and 34: Sl. Name of Date of Consid- No. of
Page 35 and 36: 7. The Pre-issue and Post-issue sha
Page 37 and 38: (b) Our top ten shareholders and sh
Page 39 and 40: OBJECTS OF THE ISSUE The proceeds f
Page 41 and 42: BASIS FOR ISSUE PRICE QUALITATIVE F
Page 43 and 44: STATEMENT OF TAX BENEFITS The Compa
Page 45 and 46: loss, such long -term capital loss
Page 47 and 48: Benefit available to Mutual Funds I
Page 49 and 50: Restrictions in external trade, bot
Page 51 and 52: to compete with the likes of China,
Page 53 and 54: III. Flat Products Flat products in
Page 55 and 56: · In China and other Asian countri
Page 57 and 58: BUSINESS OVERVIEW Kamdhenu Ispat Li
Page 59 and 60: PROCESS PROCESS FLOW CHART FOR PROD
Page 61 and 62: POWER The Company sources Power fro
Page 63 and 64: The sponge iron is one of the raw m
Page 65 and 66: We help them to get right people to
Page 67 and 68: 23. A.S. CEMENT INDUSTRIES, Patiala
Page 69 and 70:
PROPERTY A. Properties owned by the
Page 71 and 72:
S No. 6. 7. 8. Date & Tenure Name &
Page 73 and 74:
OUR INDEBTEDNESS Sr. No 1 Lender &
Page 75 and 76:
Main Objects The main objects of th
Page 77 and 78:
OUR MANAGEMENT As per the Articles
Page 79 and 80:
C. MR. SUNIL KUMAR AGARWAL Designat
Page 81 and 82:
Company Secretary Secretarial & Leg
Page 83 and 84:
PROMOTERS OUR PROMOTERS MR. SATISH
Page 85 and 86:
2. and accessories, automobile part
Page 87 and 88:
The Board of Directors Kamdhenu Isp
Page 89 and 90:
Annexure - II Statement of Assets a
Page 91 and 92:
7 The company is manufacturing CTD/
Page 93 and 94:
Annexure - VII Performance Ratios:
Page 95 and 96:
Principal Terms of Sanctioned Loans
Page 97 and 98:
Financial Statements of Group Compa
Page 99 and 100:
The Board of Directors of the Compa
Page 101 and 102:
List of Shareholders as on 30.9.200
Page 103 and 104:
MANAGEMENT’S DISCUSSION AND ANALY
Page 105 and 106:
DEPRECIATION Depreciation on fixed
Page 107 and 108:
of excise duty was 8% thereafter up
Page 109 and 110:
Administrative and Other Expenses W
Page 111 and 112:
Cost Of Goods Traded In The company
Page 113 and 114:
Information required as per clause
Page 115 and 116:
SL. NO. 5 6 7 8 9 10 11 12 ASSESSME
Page 117 and 118:
3.2 CENTRAL EXCISE Commissioner of
Page 119 and 120:
4.2 M/s. Kamdhenu Ispat Limited vs.
Page 121 and 122:
II Outstanding litigations involvin
Page 123 and 124:
Sales Tax ASSESSMENT YEAR PARTICULA
Page 125 and 126:
11. The Company has obtained consen
Page 127 and 128:
BEHALF AND TOWARDS THIS PURPOSE, TH
Page 129 and 130:
Public Issue expenses are estimated
Page 131 and 132:
ISSUE INFORMATION Terms of the Issu
Page 133 and 134:
Applications by Hindu Undivided Fam
Page 135 and 136:
Payment Instructions 1. Payments sh
Page 137 and 138:
5. Investors can contact the Compli
Page 139 and 140:
for public subscription and the bal
Page 141 and 142:
POWER TO MODIFY RIGHT 11. (i) If at
Page 143 and 144:
without any deduction or allowance
Page 145 and 146:
there be no such Chairman or if at
Page 147 and 148:
69. The Director shall not be requi
Page 149 and 150:
fit and any such appointment may (i
Page 151 and 152:
present and entitled to vote there
Page 153 and 154:
MATERIAL CONTRACTS AND DOCUMENTS FO
Page 155:
DECLARATION All the relevant provis
show all

KAMDHENU ISPAT LIMITED - Securities and Exchange Board of India

Create successful ePaper yourself

Delete template?

Save as template?