Tavan Bogd Group

Background

"TavanBogd Group" is a privately owned Mongolian conglomerate, owning and operating subsidiaries in multiple business sectors. Such as, trade and services, manufacturing, tourism, hospitality, and etc. The company has 12 subsidiaries and 4 associated companies such as TavanBogd Trade LLC, TavanBogd Foods LLC, TavanBogd International and etc. Although the company operates on a global scale the headquarters and main business activity takes place in Ulaanbaatar, Mongolia.

Contents

• Background
• History
• Holding Company
• Trade Service
• Manufacturing
• Tourism Hospitality
• Banking
• Mining supply chain
• Corporate social responsibility
• References

Company CEO and President BAATARSAIKHAN Tsagaach found the company back in 1995. The company was named after the tallest mountain in Mongolia, the “Altai Tavan Bogd”. The logo shows the “Tavan Bogd” mountains, with the blue color representing eternity, white representing purity and the green representing environmental friendliness. The company started out with providing photo-processing service with Fujifilm. Since then the company has expanded and grown, to now provides global brands including “KFC”, “Pizza Hut”, “Toyota”, “Volkswagen”, “Hitachi Construction Machinery”, “L’Occitane”, “TOTO” and etc.

History

1995: TavanBogd Group established

1998: TavanBogd International LLC found

2001: Airlink Mongolia LLC found

2002: Ulaanbaatar Flour LLC

2005: Kempinski Hotel Khan Palace

2013: TavanBogd Foods LLC andTavanBogd Smart Electronics LLC found

2014: TavanBogd Foods Pizza LLC, TavanBogd WashYoku LLC and TavanBogd Management LLC founded and established

Holding Company

“TavanBogd Trade LLC” is a subordinate company of TavanBogd Group. It provides strategic planning, financial budgeting, and consolidates the other subsidiary company, as well as development of new businesses by TavanBogd Group. The company is accountable for business activates such as investment, real estate development, Food and Beverage, import and distribution.

Trade & Service

“TavanBogd International LLC” a subsidiary of TavanBogd Group in the Trade & Service area, it wholesales foods and consumer goods from well known global brands and distributes these goods to all 21 states of Mongolia. “MamyPoko” diapers and “Sofy” sanitary napkins, “Colgate” toothpaste, “Palmolive” shampoos and soaps are just some examples of the global brands TavanBogd International distributes. Notable food producing brands are also officially distributed through the company such as “Heinz”, “Typhoo” and “John West” brands.

“TavanBogd LLC” a subsidiary of TavanBogd Group in the Trade and Service department, the company is responsible for the sales and maintenance of Toyota vehicles.

“TavanBogd Smart Electronics LLC” a subsidiary of TavanBogd Group in the Trade and Service area, the company sells and distributes variety of electronic devices to customer such as TV’s of international brand such as “Funai”, “Toshiba” and “Sharp”. As well as vacuum cleaners from German brand “Dirt Devil”.

“TavanBogd Foods LLC” is a subsidiary of TavanBogd Group in the Trade and Service area, the company was granted the rights to operate the world-famous KFC outlets in Mongolia from YUM! Asia Franchise Pte., Ltd. Opening its first outlet in May 2013 and now have grown to operate 8 outlets, although the business is still in progress to open more stores. YUM! Brands Inc., is the world’s largest restaurant company with nearly 38,000 restaurants in over 120 countries.

“TavanBogd Foods Pizza LLC” a subsidiary of TavanBogd Group in the Trade and Service area, the company was granted the rights to operate “Pizza Hut” the world number 1 pizza chain restaurant by YUM! Asia Franchise Pte. There are 8 stores and TavanBogd Foods Pizza LLC is hoping to add more to add to the global footprint of Pizza Hut’s other 14,000 restaurants in over 100 countries.

“TavanBogd Management LLC” a subsidiary of TavanBogd Group in the Trade and Service area, the company is responsible for operating the “Xerox”, “Double A”, Ulaanbaatar Printing and other brands and business activities related to printing and copying market. The Xerox centre and Ulaanbaatar print factory both take part in printing services but in different forms and scale. The Xerox centre operates on a smaller scale, producing business cards, greeting cards, printing, scanning and etc. Where as, the Ulaanbaatar print factory produces in mass products such as magazines, catalogues, books, notebooks, posters, newspapers and brochures and etc.

“TavanBogd WashYoku LLC” a subsidiary of TavanBogd Group in the Trade and Service area, the company operates and is responsible for the running of different restaurants. The restaurants consist of the following, “Sakura” restaurant, “Nagomi 1”, “Nagomi 2”, and “Mirage” restaurant. “Sakura” restaurant a Japanese cuisine restaurant serve two types of cuisine, the first being the traditional Japanese dishes and the second one being Teppanyaki. The “Nagomi” chains are both conveyor belt sushi restaurants that serve sushi as well as some other Japanese dishes. “Mirage” restaurant provides both traditional Mongolian and European meals. It can also be used as an event hall as it can host up to 500 people.

Manufacturing

“Ulaanbaatar Flour LLC” a subsidiary of TavanBogd Group in the manufacturing area, the company produces 28% of flour in Mongolia and operates one of the biggest flour mills in Mongolia, in Darkhan province. The company is the second biggest flour milling company in Mongolia.

Tourism & Hospitality

"Airlink Mongolia LLC" a subsidiary of TavanBogd Group in the tourism & hospitality area, the company provides airline ticketing to customers. The company provides tickets from airlines such as MIAT, Air China, Korean Air, Aeroflot, United Airlines and Turkish Airlines, and is an accredited agent of the International Air Transport Association.

"Juulchin LLC" is a subsidiary of TavanBogd Group in the tourism & hospitality area, the company takes pride being the first official tourism company in Mongolia. The company allows its customer to travel and visit to more than 50 cities, and is still hoping to grow. The company cooperates with over 150 international tour operators from various regions of the world.

"Kempinski Hotel Khan Palace" a subsidiary of TavanBogd group in the tourism & hospitality, TavanBogd group was given the rights to operate the hotel from Kempinski Hotels, a luxury hotel group. The hotel is one of few official rated Five Star Hotel in Mongolia. With 102 rooms and suites serving to both business and leisure travelers.

Banking

"Khan Bank" an associated company with TavanBogd Group, it is the largest bank in Mongolia with 512 branches throughout Mongolia, providing banking services to an estimated 80% of Mongolian households. Khan Bank has a long rich history that goes back over 80 years. Khan Bank is moving toward constant innovation as it is trying to introduce new technologies. TavanBogd Group is a 23% shareholder of Khan Bank, with TavanBogd Group executive vice-president holding another 13% share.

Mining supply chain

"ZAMine Services Co., Ltd" was established when TavanBogd Group together with Marubeni Corporation to from the company. The company distributes heavy mining equipment from Japanese famous brand Hitachi. The products distributed are well known for its high quality and technical warranty maintenance. Hitachi today is one of the leading manufacturers in the world.

Manufacturing

"Gobi Cashmere" a former public company became a private entity when TavanBogd Trade LLC and Japanese partners acquired a controlling share turned Gobi into one of the most five luxurious knitwear brands in the world. Gobi was established back in 1981 in a joint effort from the Mongolian and Japanese Government, but in 2007 the company was privatized, and with it the company had begun its new brand, new image, new goals. This new vision will see Gobi innovate, authenticate, and grow. Gobi produces variety of different products and sell them in the domestic and foreign markets. The Gobi products are sold in stores of more than 20 developed cities including New-York, Tokyo, London, Paris, Berlin, Moscow and etc. Gobi specializes in cashmere, wool, yak down products and is one of five of the biggest company in the area it specializes.

Trade & Service

“Support Services Mongolia” LLC was created when “Tavan Bogd” group and “CIS Mongolia” LLC, a subsidiary of World leading Integrated service provider “CIS” group had a joint venture to provide catering service to Energy, Road & Construction, Oil & Gas and Mining companies. Support Services Mongolia (“SSM”) was recently recognized as achieving International Quality Management standards (ISO) across all stages of operations. SSM has become the first Mongolian catering and support service company to be awarded such prestigious internationally recognized standards in the mining sector.

Corporate social responsibility

TavanBogd maintains CRS principles in three main areas of human responsibility, product responsibility and environmental responsibility. Human responsibility stands for maintaining positive work environment for the employees and developing a business model, in which the beneficiary is not only the company, also the community. Product responsibility means the company’s efforts to enhance product quality that exceeds customers’ expectations; and assume liability for its products & services with full commitment. Environmental responsibility is to provide environmental-friendly products & services; and adhere to principles of environmental responsiveness. The group is credited for conducting various activities designed to help people in need. Major recent initiatives include an organizing nationwide campaign to promote health education among the youth, and donations of medical equipment for maternity hospitals I, II, III.