Kardan N.V. — M&A Activity 2010

Sep 16, 2010

KARDAN COMPLETES SALE OF 16% STAKE IN RUSSIAN BANK SOVCOM

Amsterdam, September 16, 2010 – following press releases dated April 9 and September 2, Kardan N.V. ("Kardan"), active in Real Estate, Financial Services and (Water) Infrastructure in emerging markets announces that the sale of 16% of the Russian bank Sovcom has been completed.

In the previous press releases, Kardan announced that TBIF Financial Services B.V ("TBIF"), Kardan's Banking and Lending subsidiary, intended to sell to its co-shareholder in the Russian bank Sovcom, 16% of Sovcom Bank shares following an exercise of a call option, in consideration of EUR 36 million, all subject to certain regulatory approvals. Following the completion of the transaction, TBIF and the co-shareholder each hold 50% of the Sovcom Bank shares.

Based on the financial statements of June 30, 2010, Kardan estimates that it will record a gain of approximately EUR 50 million. It should be noted however, that the final calculation of the gain based on the results of September 30, 2010, depends, among others, on valuations by an external appraiser.

About Kardan

Kardan, with headquarters in Amsterdam focuses on three main fields of activities: Real Estate, Financial Services and (Water) Infrastructure. The company operates in seven segments primarily in emerging markets in Central and Eastern Europe and China, where it conducts most of its activities.

Kardan holds controlling interests in its divisions 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.

Kardan is listed on NYSE Euronext Amsterdam and the Tel-Aviv Stock Exchange.

Total assets as of June 30, 2010 amounted to EUR 6.5 billion (December 31, 2009 and June 30, 2009: EUR 5.6 billion and 5.4 billion, respectively) with revenues of EUR 400 million in H1-2010 (EUR 753 million in 2009 and EUR 353 million in H1-2009).

For further information please contact:
Jan Slootweg	Caroline Vogelzang
Management Board member Kardan N.V.	Director Investor Relations
Office +31 (0)20 305 0010	+31 (0)20 305 0010
www.kardan.nl	Vogelzang@kardan.nl

"This press release contains regulated information (gereglementeerde informatie) as defined in the Dutch Act on Financial Supervision (Wet op het financieel toezicht)"