Kardan N.V. — M&A Activity 2010

Jun 8, 2010

KARDAN TRANSFERS FULL CONTROL IN INSURANCE AND PENSION SEGMENT TO PARTNER

Amsterdam, June 8, 2010 - Kardan N.V. ("Kardan"), active in Real Estate, Financial Services and (Water) Infrastructure in emerging markets, announces that it is estimated that as of June 30, 2010 the joint control between Vienna Insurance Group ("VIG") and Kardan Financial Services ("KFS") over TBIH Financial Services Group N.V. ("TBIH") will terminate. TBIH is active in Insurance and Pension in Central and Eastern Europe. Currently the partners jointly control TBIH in which VIG holds 60% and KFS 40%. Upon change of control, the ownership will not change.

The change of control was originally scheduled to take place as at December 31, 2010 but in December 2009 the parties mutually agreed to transfer full control to VIG earlier, subject to receipt of regulatory approvals. The completion of the transaction is still subject to approval of the new Articles of Association of TBIH and other procedures.

As a result, Kardan and KFS will cease to proportionately consolidate the financial statements of TBIH and from that date the investment in TBIH will be presented according to the equity method.

The accounting treatment and consequently the impact on the result of Kardan is currently being examined.

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 throughout emerging markets, primarily in Central and Eastern Europe and China, where it conducts most of its activities.

Kardan NV holds controlling interests in its divisions and management is actively involved in the definition and implementation of their strategy. Kardan has a consistent track record of creating longterm 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 March 2010 amounted to EUR 6.3 billion (December 31, 2009 and 2008 respectively EUR 5.6 and 5.2 billion) with revenues of EUR 192 in Q1 2010 (EUR 753 million in 2009 and EUR 492 million in 2008).

For further information please contact: Jan Slootweg Management Board member Kardan NV Office +31 (0)20 305 0010 www.kardan.nl

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