Kardan N.V. — M&A Activity 2008

Jul 7, 2008

PRESS RELEASE

KARDAN INFRASTRUCTURE SUBSIDIARY WON TWO PROJECTS IN SOUTHERN SAHARA

Amsterdam, 7 July 2008 - International investment company Kardan N.V. (Kardan) announces that its wholly owned infrastructure subsidiary Tahal Group B.V. (Tahal) has won two tenders for turn key projects in two countries, located in the Southern Sahara.

The project size is approximately EUR 165 million (USD 260 million) and the execution of the projects will take around 3 to 5 years. The commencing of the project is subject, among other things, to the closing of the financing for each of the projects.

Tahal is the holding company of the infrastructure activities of Kardan. Tahal operates internationally in the fields of investments, planning, design, construction and project management as well as in turnkey and 'build operate transfer' projects. Approximately 90% of the activities of Tahal are directly related to water and sewage systems.

About Kardan

Kardan is an international investment company based in Amsterdam with a focus on three sectors: Real Estate, Financial Services and Infrastructure. The company is primarily active in emerging markets in Central and Eastern Europe and China, where it conducts most of its activities.

Kardan holds controlling interests in its main businesses and is actively involved in the definition and implementation of their strategy. Kardan has a consistent track record of creating long-term shareholder value through active management of investments in the group companies and by leveraging on its business experience, financial resources and local and international network.

Total assets per December 31, 2007 amounted to EUR 4.3 billion, with revenues of EUR 774 million. The number of employees engaged by the group is approximately 13,411 as of December 31, 2007. Kardan is listed on Euronext Amsterdam and the Tel-Aviv Stock Exchange.

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