Kardan N.V. — M&A Activity 2014

Apr 7, 2014

KARDAN LAND CHINA SELLS SOHO BUILDING IN EUROPARK DALIAN, CHINA

Amsterdam, April 6, 2014 – Kardan N.V., active in Real Estate, Water Infrastructure and Financial Services in emerging markets announces that its indirect subsidiary Kardan Land Dalian ("the Project Company") has completed the signing of a Letter of Intent ("LoI") with a Chinese investor (the "Purchaser") for the sale of building A2 in the Europark Dalian project in China, which comprises 201 Small Office Home Office (SOHO) units as well as 100 parking spaces ("the Transaction"). The total consideration is RMB 334 million (approximately EUR 39 million).

The Project Company is a 100% subsidiary of Kardan Land China, Kardan's wholly owned real estate subsidiary in China. After the signing of the LoI, the Purchaser paid a deposit of 10% of the total consideration that can be refunded only in case the final purchase agreement will not be signed due to the shortcomings of the Project Company.

The completion of the Transaction is subject to various conditions precedent, including the signing of the final purchase agreement. It is not certain at this time that the sale will be completed.

It is planned that the final purchase agreement will be signed in the coming two months, at which time the Purchaser shall pay an additional 60% of the total consideration. The balance (i.e. 30% of the total consideration) will be paid upon delivery of the building, which is expected to take place at the end of the third quarter of 2014.

The proceeds of the Transaction will be used by the Project Company to further develop the project.

The Europark Dalian project comprises a shopping centre (Galleria Dalian), two SOHO buildings, two luxury apartment buildings and another building for residential units or offices and parking areas, over a built area of approximately 327,000 sqm in the city of Dalian in China. Overall 1,130 residential units are expected to be built on an area of 109,725 sqm and the project will have 2,311 parking spaces to be used by the buildings' residents and visitors of the shopping centre.

The opening of the Europark Dalian shopping centre is planned for Q4 2014.

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 December 31, 2013 amounted to EUR 925 mn; revenues totalled EUR 208 mn in the full year 2013. 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

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