Kardan N.V. — Capital/Financing Update 2014

Nov 26, 2014

KARDAN PUBLISHES SHELF PROSPECTUS IN ISRAEL

Amsterdam, November 25, 2014 – Following the announcement on June 27, 2014, in which Kardan N.V. ('the Company' or 'Kardan'), active in Real Estate, Water Infrastructure and Financial Services in emerging markets announced that it had submitted a draft Shelf Prospectus to the Israeli Securities Authority ('ISA'), the Company announces that it has today received permission from ISA and has consequently published the Shelf Prospectus.

In Israel it is possible to issue a 'Shelf Prospectus', which is a generic prospectus that serves as a primary document to enable a company to offer to the public, via the Tel Aviv Stock Exchange ('TASE'), all types of securities as described in it, several times and on different dates, during the effective period of the Shelf Prospectus (two years with the possibility to extend one more year after having been approved by the ISA) by only having to additionally publish a Shelf Offering Report. It gives a company the possibility to act faster once a decision regarding an offering has been taken.

The Shelf Prospectus predominantly describes the Company's activities by referring to Kardan's financial statements dated December 31, 2013 and June 30, 2014 as well as to Kardan's Periodic Report for 2013 (the annual report according to Israeli law and regulations, as then approved by the Board) and by referring to all other major events announced by the Company since the day of publication of the 2013 financial statements.

Publishing a Shelf Prospectus does not imply that the Company has decided to offer securities to the market through the TASE. It is merely a precautionary measure to be able to save time should the Company deem it necessary to initiate an offering of securities through the TASE in the future.

The English translation of the Shelf Prospectus can be found on the corporate site, www.kardan.nl under Press / Publications / Prospectus and others.

DISCLAIMER

This press release contains forward-looking statements and information, for example concerning the financial condition, results of operations, businesses and potential exposure to market risks of Kardan N.V. and its group companies (jointly "Kardan Group"). All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements (including "forward looking statements" as defined in the Israeli Securities Law). Forward-looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. These forward-looking statements are identified by the use of terms and phrases such as ''anticipate'', ''believe'', ''could'', ''estimate'', ''expect'', ''intend'', ''may'', ''plan'', ''objectives'', ''outlook'', ''probably'', ''project'', ''will'', ''seek'', ''target'', ''risks'', ''goals'', ''should'' and similar terms and phrases. A variety of factors, many of which are beyond Kardan Group's control, affect our operations, performance, business strategy and results and could cause the actual results, performance or achievements of Kardan Group to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. For Kardan Group, particular uncertainties arise, amongst others but not limited to and not in any order of importance, (i) from dependence on external financing with the risk that insufficient access to capital threatens its capacity to grow, execute its business model, and generate future financial returns (ii) from concentration of its business in Central Eastern Europe and China as a result of which Kardan Group is strongly exposed to these particular markets (iii) from risks related to the financial markets as a result of Kardan N.V.'s listings on NYSE Euronext Amsterdam and the Tel Aviv Stock Exchange and (iv) from it being a decentralized organization with a large number of separate entities spread over different geographic areas in emerging markets, so that Kardan Group is exposed to the risk of fraudulent activities or illegal acts perpetrated by managers, employees, customers, suppliers or third parties which expose the organization to fines, sanctions and loss of customers, profits and reputation etc. and may adversely impact Kardan Group's ability to achieve its objectives and (v) from any of the risk factors specified in Kardan N.V.'s Annual Report and in the related "Periodic Report" (published by Kardan N.V. in Israel) published in April, and which is also available at the Kardan website. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the relevant forward-looking statement as expected, anticipated, intended, planned, believed, sought, estimated or projected. Kardan N.V. does not intend or assume any obligation to update or revise these forward-looking statements in light of developments which differ from those anticipated.

About Kardan

Kardan identifies and develops assets in promising emerging markets, mainly in Asia (predominantly China), Africa and selected CEE and CIS countries. Its activities are mainly focused on three sectors that benefit from the rising middle class: Real Estate, Water Infrastructure and Banking & Retail Lending. Company headquarters are in the Netherlands. Kardan aims at holding controlling interests in its investments and is actively involved in the definition and implementation of their strategy through its local business platforms. Total assets as of June 30, 2014 amounted to EUR 949 mn; revenues totalled EUR 114 mn in the first half year of 2014. Kardan is listed on NYSE Euronext Amsterdam and the Tel Aviv Stock Exchange.

For further information please contact:

Caroline Vogelzang Director Investor Relations +31 (0)20 305 0010 Vogelzang@kardan.nl www.kardan.nl