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KAMDHENU ISPAT LIMITED - Securities and Exchange Board of India

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23. A.S. CEMENT INDUSTRIES, Patiala <strong>and</strong> September 8, 2005<br />

Village Bhagwas, Tehsil-Derabassi, Distt. Patiala, Punjab surrounding areas<br />

24. ASIAN CEMENT (H.P.) Himachal Pradesh October 8, 2005<br />

Village Tipri, Lodhwa, Tehsil Lodhpur, Dist. Dharamshala<br />

C. For POP<br />

25. SH. DEVENDRA SINGH, As per the requirements<br />

C-1/ 1053 Madangir, New Delhi. <strong>of</strong> the company June 30, 2005.<br />

D. For SS Pipes<br />

26. <strong>KAMDHENU</strong> INDUSTRIES <strong>LIMITED</strong> As per the requirements October 8, 2005<br />

Flat No. 24, Pocket C 8, Sector 8, Rohini, Delhi-85 <strong>of</strong> the company<br />

The terms <strong>and</strong> conditions <strong>of</strong> franchisee agreement vary from franchisee to franchisee. However the Principal terms<br />

<strong>and</strong> conditions are as follows :<br />

The franchisee can use the Trade Mark – “<strong>KAMDHENU</strong>” for the sale <strong>of</strong> steel bars <strong>and</strong> cement in its territorial<br />

jurisdiction.<br />

The Permitted User shall pay a Royalty fee as mutually agreed.<br />

All tax liability except TDS shall be borne by the franchisee.<br />

The Agreement is not assignable by the franchisee to any third party.<br />

The Permitted User shall furnish monthly statement <strong>of</strong> production <strong>and</strong> sales <strong>of</strong> the steel bars to the Company<br />

The Permitted User shall obtain BIS Certificate for the steel bars produced by it as per IS: 1786 : 1985 at its<br />

own costs.<br />

All the above franchisee market products using our dealer network <strong>of</strong> 1750 dealers <strong>and</strong> distributors spread across<br />

<strong>India</strong>. This ensures far <strong>and</strong> wide availability <strong>of</strong> Kamdhenu products.<br />

Under the second franchisee model Kamdhenu is proposing to establish its own Stock Yards for creating<br />

<strong>and</strong> supporting distribution network at following strategic locations to cover the significant part <strong>of</strong> length<br />

<strong>and</strong> breadth <strong>of</strong> the country<br />

Sl.No. Location <strong>of</strong> Stock Yard Areas to be covered<br />

1. M<strong>and</strong>i, Gobindgarh Punjab<br />

2. Nalagarh H.P <strong>and</strong> J & K States<br />

3. Ajmer Rajasthan<br />

4. Ahmedabad Gujarat<br />

5. Bangalore Southern Region<br />

6. Indore Madhya Pradesh<br />

7. Delhi N C R<br />

8. Gurgaon Haryana<br />

9. Kanpur U.P.<br />

Materials for the above stock yards will be procured from nearby franchisee, subject to availability <strong>of</strong> stock at competitive<br />

prices. The Company may procure materials from franchisee situated in other states for distribution in different<br />

geographical area. We further intend to open more need based Stock Yards at different locations.<br />

The details <strong>of</strong> the franchisee agreements entered into by the Company with the Strategic Partners for stock yards<br />

are as follows :<br />

Sl.No. Name <strong>of</strong> the Franchise Unit Location State Prod. Qty.<br />

(MT) to be lifted p.m<br />

1. Aar Kay Industries M<strong>and</strong>i, Gobindgarh, Punjab 2000<br />

2. Nalagarh Steel Rolling Mills P Ltd Nalagarh H.P 2500<br />

3. Raghuveer Metal Industries Ltd. Ajmer Rajasthan 2000<br />

4. Kali Metals Pvt Ltd Hosur Tamil Nadu 3500<br />

5. Jhelum Industries Jammu J & K 1000<br />

6. Radhey-Radhey Ispat (P) Ltd. Kanpur U.P. 1000<br />

51

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