INVESTOR PRESENTATION

August 2023

Disclaimer

This presentation was prepared by the Ackerstein Group Ltd. (the "Company" and / or the "Group") as a general presentation about the Company and is not intended to replace the need to review the Company's full reports to the Tel Aviv Securities Authority and the Tel Aviv Stock Exchange Ltd. Among other things, the Company's periodic reports, including the Company's periodic report for 2022, the Company's periodic report for the first quarter and first half of 2023 and the Company's immediate reports ("the Company's Reports"), prior to making a decision regarding the Company's investment in 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 - as defined in the Securities Law, 5728 - 1968 ("the Law") and does not replace an independent examination and personal advice in accordance with the special data of each investor. Such an offer will be made only in accordance with the provisions of the Law, after receiving the necessary permits from the Securities Authority and the stock exchange. This presentation includes a summary of the issues described in it in the context in which they are discussed and not the full information available to the Company in relation to these issues and / or which has appeared and will appear in the Company's Reports. The presentation includes data on possible growth volumes, statistics, etc. It should be emphasized that data on growth volumes and statistics are based on public data and Company estimates and do not constitute any facts and / or representations. This presentation may include forward-looking information as defined in the Law ("Forward-Looking Information") including estimates and information regarding future events, forecasts and subjective assessments of the Company's management as of the date of publication of the presentation, which although the Company believes to be reasonable, are inherently uncertain. Such Forward-Looking Information is uncertain, unpredictable, influenced by factors beyond the Company's control, each of which or a combination thereof and the realization of which risk factors characterize the Company's operations (as specified in its reports) may result in its partial realization, non-realization or realization fundamentally different. Subject to the Law, 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 publication.

Israel's leading manufacturer & provider of concrete products and solutions

for infrastructure, construction and landscape design

Industry Segment

Infrastructure and landscape design products

Civil & Industrial Engineering Segment

Unique solutions for complex projects with combined prefabricated buildings & elements

Overseas Industry Segment

Landscape design products in Western US

Real Estate Segment

Commercial, industrial and retail properties

First half 2023: Continued growth and enhanced profitability

driven by 2022 investmentss to expand production capacy

A significant part of Israel's tremendous development and investment momentum

The leading company for the production and supply of products and solutions along the entire value chain,

from infrastructure, prefabricated buildings & elements, to landscape design products

A glimpse into the future:

investment and development momentum is expected to grow

By 2050, Israel's population is expected to double

Unprecedented national investment plans

to develop extensive transportation network, energy and water infrastructure

FIVE-YEAR PLAN

investments to promote transportation in Israel between 2023 and 2027

Approx. ILS 50^B

Approx. ILS 150^B

Approx. ILS 95^B

Focus on enhancing public transportation, expanding mass transit systems, and upgrading road infrastructure

400 km of new track and approx. 55 new stations. Includes plan to double coastal railways, with a budget of ILS 15.5B

TEL AVIV AREA METRO PROJECT

ISRAEL RAILWAYS

2040 strategic development plan

5-year plan – link to source Tel Aviv area metro project: source 2021 Annual report - Israel Railways. link The Marker - Infrastructure 360 conference, November 2022 - link to article, link to presentation September 2022. link Gross domestic investment in infrastructure, CBS. link

Israel should double the current level of investment in infrastructure, particularly in the field of transportation

Dr. Adi Brander, Bank of Israel, Infrastructure Conference 360

ILS B 90

7 I

Investor presentation I March 2023 I

ILS B

2021 2050 F

Advance development Telecom Water Energy Transportation

From planning to execution

30 minutes from Haifa to Tel Aviv: the new railways are on their way to final approval

Globes 11.6.2023

After years of planning: the government approved two lines for the Tel Aviv metro project

YNet 22.5.2022

The metro plan is progressing: a tender has been published for the position of project manager

Ď9.č.ĎČĎď Globes

At a cost of three billion shekels: the Tel Aviv metropolitan area sewage expansion project is underway

Israel Today Ďď.Ď.ĎČĎĎ

The new barrier at seam zone was approved NIS 360 million will be allocated to replace the old fence with a "massive" concrete wall

YNet čČ.Đ.ĎČĎĎ

Investor presentation I August 2023 I 8 I

Power multipliers

integrating into any construction or infrastructure project in Israel

Extensive professional knowledge

with 98 years of experience across diverse projects

Widest variety of products & solutions under one roof

Nationwide deployment of advanced production facilities & delivery capacity

Financial strength enables investment in innovative products and processes

High barriers to entry for competitors

Achievements and strategic focus

in four of our business segments

Industry

Civil & Industrial Engineering

Overseas Industry

Real Estate

Industry segment

H1 2023: Sustained revenue and profit growth, due to 2022 investment initiatives

The widest range of products for hundreds of public and private projects

Expanded the landscape design production line in 2022

Adding ~10% to the potential production capacity

Civil & Industrial Engineering segment

H1 2023: Revenue growth and profitability boost, driven by increase in project size and scope of work

Customized solutions for diverse projects

Diverse client base: infrastructure contractors, developers, government, and more

Authorized supplier for the State of Israel and Israel Railways

Advanced fencing systems

Prefabricated buildings & elements

Protective elements and shelters

Transport infrastructure

Water and sewage infrastructure

Strategic focus for continued profitable growth

in Industry and Civil & Industrial Engineering segments

Expanding activity in prefabricated construction

Entering new categories: industrial building prefabricated building and prefabricated logistics centers

Continuing to invest in innovation

Constant expansion of products and solutions

Integrating future construction and infrastructure projects Maximizing the scope of

work for each project

Prefabricated construction: the key to accelerating construction

Expected increase in housing units' construction rate from 50k to 70k annually

Significant shortage in labor

35%-65%

Shorter construction time

Labor saving at construction site

Accurate, high-quality and diverse construction

Smarter Greener

Reduction of construction waste

Higher productivity: 3-4X Reduces noise and air pollution

Improves working conditions and safety

Sources: (č) CBS (2) The National Research Institute for Construction Research link Investor presentation I August 2023 I 17 I

Investor presentation I August 2023 I

Expansion in the prefabricated construction category

industrialized solutions

Production capacity potential (thousands of cubic meters)

Expansion of Ackerstein prefabricated production facility

Entering new categories: Industrial buildings and logistics centers

Acquired KALRAM

KALRAM operates in the field of perimeter protection for the business sector, specializing in steel construction & elements

Deal rational

Increasing company offerings, while maximizing KALRAM's potential

Expanding capabilities in construction of industrial buildings

Industrial building & logistics center construction market potential

Key factors for increased demand

Strengthening of online trade and the number of importers

Solutions for small & medium-sized companies that outsource to logistics companies

Need for modern logistics buildings

that integrate technology to allow for improvement in profitability

Demand for residential housing leads to relocation of factories, military bases and storage areas from the center to the periphery

52% Growth in industrial and storage areas in the last decade

Industrial and warehouse building construction starts (in thousands of square meters)

20 I

Overseas Industry segment

H1 2023: Results impacted by macroeconomic environment and high interest rates

Implemented managementlevel personnel changes

Anticipating market recovery in H2 2024

	Q1-22	Q1-23		Q2-22	Q2-23		H1-22	H1-23
Revenue1	22	16	(27%) Change	25	17	(32%) Change	47	33	(30%) Change
Operating income (loss)1	0	(4)		2	(7)		2	(11)
EBITDA1	2	(2)		4	(5)		6	(7)

Landscape design products production pioneer

Operating in the US West Coast

through subsidiary Aker-stone

ت	1

Customers

Distributors with building materials stores, landscape design contractors
Establishing relationships with leading architectural firms in each region

Diverse commercial and residential projects

Depends on the execution of projects in the industry
Influenced by the macroeconomic environment

Local production and supply

Need for high availability and continuous supply of products
Proximity to the customer

Reasons Phoenix continues to be one of the strongest real estate markets in 5the US:

Growing population

Positive immigration of over 277,000 people In the last five years, mostly from California

Attractive job market

~90,000 new jobs created in 2022

Sunny weather 300+ days of sunshine a year

Strategic location Up to 4 hour flight to all destinations in the US

easy access by train

Business friendly environment

Sources: (1) AZBIGMEDIA 2022 (2) 2023 AZBIGMEDIA (3) Metro Phoenix market overview 2022, CBRE (4) CITY MONITOR (5) AZBIGMEDIA

H2 2024: Expected market recovery

Anticipating a rise in housing unit construction in the coming years, due to:

Continuous population growth

39% decrease in housing inventory from Jan 2023¹

Arizona: New private housing units authorized by building permits²

Chart Title Phoenix: Rates of change in construction volumes by sector (in %)³

Source: Federal Reserve Economic Data (1)FRED link (2)FRED link (3) Cumming Management Group, Inc link

Investor presentation I August 2023 I 24 I

California market opportunity

Significant size and economic resilience create many opportunities

Products are positioned as premium products,

suitable for residential and commercial projects

Completed major projects on the West Coast:

Disneyland, Apple office complex, Google offices, Universal Studios, US Navy headquarters, others

Potential demand from different sectors

Technology Hospitality Entertainment

California construction industry snapshot:

San Diego

Insights across cities

Change in construction volumes by sector (in%)¹

Real Estate segment

H1 2023 Real estate value breakdown

(2) Including real estate that is classified as fixed assets

H12023 Rental revenue³ breakdown

(3) Revenues from unrelated third party (4) The average occupancy rate of the offices in Herzliya Pituach was 98% in H1 2023

28 I Investor presentation I August 2023 I

Ackerstein House: Value-added features

23,000square meters of mixed-use space, including:

50 apartments of 50 square meters each

500 square meters of commercial space

Potential for growth and value creation

Portfolio expansion

Potential value-add

Ashdod factory, Nitzanei Shalom

Value-add Ackerstein Towers, Ackerstein House

Financial data H1 2023

Revenue,EBITDA and NOI

Consolidated basis, in thousands ILS

	H1 2023	2022
Revenue	514,172	782,253
EBITDA	88,919	117,858

Industry and Civil & Industrial Engineering segments
Revenue	466,796	661,338
EBITDA	88,740	93,449

Oversea Industry segment
Revenue	32,622	91,867
EBITDA	(7,137)	10,137

Real Estate segment
Revenue	14,163	28,829
NOI	11,336	ĎĎ,97Č

The EBITDA presented above does not include other expenses and income and unallocated expenses (at the total level)

Consolidated balance sheet

As of June 30, 2023 and December 31, 2022, in million ILS

Current assets:	H1 2023




Inventory	121	113

Non-current assets			Non-current liabilities
Right of use asset, net	41	42	Liabilities to banks
Investment properties	424	422	Lease liabilities
Fixed assets	805	801	Liabilities with respect to other benefits after employment termination
Other	7	8	Deferred taxes, net
Total	1,277	1,273	Total non-current liabilities

Current assets:	H1 2023	2022	Current liabilities	H1 2023	2022
Cash and cash equivalents	154	178	Credit from banks	45	54
Short-term investments	-	65	Lease current liabilities	9	8
Customers	305	263	Trade payables	136	130
Receivables and others	37	42	Other current liabilities	235	264
Inventory	121	113
Total	617	661	Total	425	456

42 422	Liabilities to banks Lease liabilities	118 35	135 35


801	Liabilities with respect to other benefits after employment termination	3	4
8	Deferred taxes, net	225	220
1,273	Total non-current liabilities	381	394

			Equity	1,088	1,084

Total assets	1,894	1,934	Total liabilities and equity	1,894	1,934

Dividend (ILS M) Attributed to profits generated in the years below

Equity and Net Debt development (ILS M)

Investor presentation I August 2023 I Investor presentation2023 I 33 I

Integral part of the construction boom in Israel

Products and solutions along the entire value chain

Nationwide deployment of advanced production facilities

Maximizing the scope of work for every construction or infrastructure project

Expanding our offerings