Tadiran Group Ltd.

Investor Presentation • Mar 9, 2022

2021: Investor presentation

TADIRAN

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This presentation was prepared by Tadiran Group Ltd. (Previously: Tadiran Holdings Ltd.) (hereinafter: "the Company" and / or the "Group" and / or "Tadiran") as a general presentation about the Company and is not intended to replace the need to review the Company's full reports to the Securities Authority and the Stock Exchange. Value in Tel Aviv Ltd. including, inter alia, the Company's periodic reports including the Company's periodic report for 2021 and immediate reports (hereinafter: "Company Reports") prior to making a decision regarding investment in the Company's securities.

The information contained in the presentation does not constitute advice, recommendation, opinion regarding investment, does not constitute an offer to invest and / or purchase securities of the Company (and in particular does not constitute an "offer to the public" or "sale to the public" of any kind) and does not replace independent examination and personal advice according to the unique needs of each investor. Such an offer shall be made only in accordance with the provisions of the law, after obtaining the necessary permits from the Securities Authority and the stock exchange.

This presentation includes a summary of the issues described in the context in which they are discussed and not the full information available to the Company in relation to these issues and does not include the full results and financial information of the Company and the notes to them, and / or the Company's business plans and / or the Company's risk factors.

The presentation includes data on international markets, including growth volumes, penetration rates, and sales, statistics, etc. It should be emphasized that this data is based on public data and the Company's assessments and does not constitute any facts and / or representations.

This presentation may include forward-looking information as defined in the Securities Law, 1968 (hereinafter: "forward-looking information"), including forecasts, subjective assessments by the Company's management as of the date of publication of the presentation, which although the Company believes are reasonable, Which are inherently uncertain, estimates and information regarding future events.

The forward-looking information is solely aimed at the date to which it relates and is uncertain, unpredictable, affected by factors beyond the control of the Company, each of which, or a combination thereof and the realization of which risk factors characterize the Company's activities, may materially impair results. The activities of the Company and cause the actual results to be materially different from the forward-looking information.

Except as an undertaking to disclose information as required by the securities laws applicable to the Company, the Company does not undertake to update or change any information contained in this presentation in order to reflect events and / or circumstances that will apply after the date of its preparation. It is clarified that the Company's plans and strategy included in this presentation are correct as of the date of their publication and may and will change in accordance with the decisions of the Company's Board of Directors from time to time.

Without detracting from the generality of the above, the information contained in the presentation, inter alia, regarding the Company's working principles, the Company's business plans in connection with Air Care O2 technology, expansion of energy activity, product marketing and development, growth potential and revenue distribution in the coming years (including advancing the target for the realization of the growth strategy by two years), is forward-looking information based and derived, inter alia, on the Company's goals.

The Company's assessments regarding the Company's objectives are based, inter alia, on the Company's assessments regarding trends in the Company's business in particular and trends in the market in which the Company operates in general, as well as the Company's management assessments regarding potential and market trends in Israel and international markets as of this report. These assessments may not materialize and / or materialize significantly differently from the Company's assessments, inter alia, as a result of factors external to the Company and which are not under control, including, inter alia, changes in the economic situation in Israel in general Different from those that the Company's management estimates as of the date of this report, the non-realization of the potential penetration into international markets in general, and in particular those listed above, regulatory changes and the realization of some of the risk factors described in the Company reports, continued potential effects. These assessments may not materialize and / or materialize significantly differently from the Company's assessments, inter alia, as a result of factors external to the Company and which are not under control, including, inter alia, changes in the economic situation in Israel in general and in the market in which the Company operates in particular, development of new and / or different trends from those that the Company's management estimates as of the date of this report, failure to penetrate international markets in general, and in particular those listed above, regulatory changes and the realization of risk factors described in the Company's reports, the continuation of potential effects of the corona crisis and so on.

To the extent that there is a conflict between what is stated in this presentation and what is stated in the Company's reports required by law, what is stated in the Company's reports will prevail.

Our vision

Enable a better living environment through renewable energies, a comfortable climate and healthy air

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Contents

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• · Company Summary
• Financial data
• · Progress in implementing the strategy

2021 in numbers

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Increased rating to Aa3.il stable (Midroog) and ilAA-(S&P Maalot)

Operating profit 186.1 ILS million

Net profit 141.5 ILS million

Net profit increase

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The diagram above does not represent areas of activity / sectors but the business activity in accordance with the company's strategy and business objectives. *At this stage, the Company has initial engagements in storage projects of insignificant scope.

Synergistic activity in Israel: Renewable energy

Tadiran enters the renewable energy market through a significant strategic acquisition

Expanding the value proposition to customers: Brand, logistics, service, sales channels

Focusing on Tadiran's core markets: Residential, commercial and industrial

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Tadiran's core area: Design, equipment and distribution

Entry into the growing sector: Solar energy

Tadiran Solar's value proposition

A leader in the design, processing, import, distribution and sale of products for assembling PV systems. The company is a one stop shop in the field of solar equipment and provides a complete and comprehensive solution to its customers.

Solar panels

manufacturer. Signed agreement to supply 360 MW in 2022 and 2023

Optimization systems

Authorized distributor of JINKO | Converters, optimizers, monitoring - a leading international panel | devices. The company is a leading distributor of SolarEdge converters solar edge

Activities of the acquired company: planning, marketing and distribution

• Logistics and trade activities
• A wide portfolio of products in the solar field for the domestic and commercial market
• Wide and synergistic customer base for Tadiran

Construction

Import of raw materials and processing in Israel

• Development of unique products and launch of solutions in the solar world

The developing renewable energy market is a significant growth engine for ladiran

PV volume installed1

Expected investment of approx. NIS 31-35 billion in the next decade (in terms of equipment and construction)

Residential roofs

Estimated market² Commercial-industrial roofs

NIS 250-300 million

NIS 1-1.1 billion

Tadiran Solar already operates in these segments and has a market share of approx. 30%

Tadiran is a leading player in the fast-growing solar equipment market

Data from the Enegy Autorio (roduction targes for renewale energy for 2007 August 2007 and and http://www.thenale.com/gmand/gram/gremium-1962428/ts-6170011602 Evaluation of Tadiran Solar's management for 2021 and market surveys arranged by Company (equipment only), data from the Energy Authority

Solar farms

NIS 500-600 million

Future potential

Aviem's value proposition

Aviem provides solutions in the field of UPS (uninterruptible power supply) and batteries for home, commercial and institutional customers.

UPS systems and special power supplies

Own brand marketer and distributor of SOCOMEC and ABB - leading manufacturers Storage and batteries

Electricity storage solutions for large-scale projects ²

Company's assets and capabilities

Supplier of advanced equipment and technology Professional team with extensive knowledge (planning, execution and service)

Relationships with customers Portfolio management Wide products

I The activity of charging management systems in a separate company held by 51% by Avien Systems ttd. and 49% by third parties 2 As of this date, the Company has initial engagements in storage projects of insignificant scope

Service Leading professional team and annual service contracts with leading organizations in the economy for critical systems

Engineering capabilities Uninterruptible power supplies, batteries, storage and charging systems for electric vehicles 1

Uninterrupted Power Supply and Energy Storage market sizes

UPS and batteries

Market size

NIS 200-250 million per year! (2020)

Market share of approx. 20-30%4

Characteristics A growing market, based on professional connections, servic and engineering capabilities

Growth drivers Organic growth drivers (server farms) and non-organic (produc basket expansion)

The uninterruptible power supply / batteries market is attractive in itself and in addition constitutes a springboard for the storage market, which is estimated at investments of approximately NIS 7 billion in the next decade.

1 Company Management Assessments 2 According to data from the Electricity Authority. Investments in batteries only

Energy Storage Systems

Expected investment of NIS 7 billion by 2030²

	Emerging market, requires skill and expertise, commercial relations with qlobal manufacturers
Ct	High growth potential, driven by growth in the PV market

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Expansion into Europe and expansion of the group's renewable energy activities through the acquisition of VP Solar

VP Solar is a one-stop shop in the field of solar equipment and provides a complete and comprehensive solution to the customer.

Solar panels

Authorized distributor of Qcells, Jinko, and others – Global panel manufacturers

Energy conversion systems

Converters, optimizers. The company distributes products of SolarEdge, Huawei and others

Energy storage

Authorized distributor of BYD, LG, and others

Mounting systems

Import and distribution of ready-made mounting systems

Distribution of heat pumps from the leading manufacturers - Daikin, LG and others

EV charging

Distribution of products for charging vehicles - Mennekes, Wallbox and others

Company's assets and capabilities

Relationships with customers

Customer relationships with many segments over the years based on the company's reputation

Supplier of advanced technology Converters, panels and storage systems from the best manufacturers in the world

Professionalism

High-quality professionals with a high sense of service

• In recent years, there has been significant growth in the EU in solar energy
• Solar power generation grew in 2020 and 2021 by 16% and 19%, respectively
• The growth is mainly due to supportive regulation, especially in Italy and Germany

Energy efficiency

As part of the ESCO project, energy consumption systems in hospitals are replaced with more efficient systems. The company receives consideration of 80% of the savings until the end of 2033.

As part of the project, energy efficiency solutions installed in hospitals throughout Israel.

Total expected expenses are estimated at NIS 95 million (approximately NIS 38 million in respect of installation costs and approximately NIS 57 million in respect of maintenance and other expenses). In the lighting and thermal fields: The first phase of the project has been completed.

As of 31.12.2021:

In the field of heating: One remaining project is nearing completion

The information preseted dor any god the project the total expert of concertion with the priet and the consection the cope of the proposition the spacities incoracy the proce fiturnation, as alsociation and on the conservation with the project. The edition and on one edition of the national of the consection of the effective of the crimation wil and are not unter the Connection, including, sope of investments and cass in connection with the project, and issues relation of Hard Hospidas.

לגליל המערבי

Innovative product portfolio

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Residential AC

Full range of highwalls and ducted products

Inventive AC solutions

Hybrid water heating systems

Inviz: outdoor unit that can be installed in hidden areas

Broad Offering of Solutions

Commercial AC

Full range of products and capacities

Air treatment

Unique solutions for indoor air treatment and air quality improvement

Tadiran's clean air revolution

99.99% effective in neutralizing the coronavirus indoors under

• Tadiran's air purification technology was found to be up to conditions tested in the experiment*
• A small and simple product that can be installed in an air conditioner, makes the air we breathe healthier
• the air.

• The technology is based on an electric current that converts the moisture in the air into hydrogen peroxide, which effectively and safely kills about 99% of the viruses, molds and bacteria in

TADIRAN AIROW

* The technology neutralizes the coronavirus in the air, according to tests performed in an enclosed space measuring 1 cubic meters, after 90 minutes.

Contents

• · Company Summary
• Financial data
• · Progress in implementing the strategy

Revenues (NIS in millions)

2020

2021

Operating profit (NIS in millions)

Operating profit

Dividend distribution (NIS in millions)

Since 2016, Tadiran has declared and distributed and announced approx. NIS 300 million of dividends.

In the financial statements for 2021, an additional dividend of NIS 33.7 million was announced based on the results for Jul-Dec 2021 to be paid in March 2022.

Summary balance sheet (NIS in millions)

31.12.21 Cash and cash equivalents 129.5 Other current assets 611.1 237.3 Non-current assets Total assets 977.8 Current liabilities 369.9 Non-current liabilities 146.1 Equity 461.8 Total liabilities and equity 977.8

31.12.20
329.5
341.1
138.1
808.8
253.7
156.6
398.5
808.8

Key financial ratios

Ratio	31.12.21
Current ratio	2.01
Ouick ratio	1.26
Equity to assets	47.3%
Net financial debt (NIS millions)	3.6
Net debt to equity	0.0

31.12.20

2.1

49.3%

-176.8

-1.1

Contents

• · Company Summary
• Financial data
• · Progress in implementing the strategy

Key principles of the group's strategic plan and growth engines

A technological and innovative value proposition for air treatment

Expansion into areas of synergistic activity in Israel renewable energy

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Entering growing markets globally

Preserving the lead in the Israeli market: Home and Commercial Air Conditioning Launch new and innovative products

The information presented above, including the schedules for carrying out the project, the total expected expenses in connection with the project and the date of their implementation, the scope of the participating hospitals, etc., is considered as Forward-Looking Information, as defined in the Securities Law, based on the company's subjective assessment and familiarity with the project. The realization and / or non-realization of the Forward-Looking Information will be affected by factors that cannot be estimated in advance and are not under the Company's control, including, inter alia, changes in schedules, scope of investments and costs in connection with the project, and issues related to policy and / or actual Ministry of Health and Hospitals.

Sales in 2021 (NIS in millions)

Consumer products, 1,009.7

Energy, 437.6

DOC 80

Thank you!

TADIRAN