Amsterdam, 26 July 2007 – Kardan N.V. (Kardan) announces that it has successfully completed a tender to Israeli institutional investors for a private placement of non convertible debentures. With this issue, Kardan will raise approximately EUR 60 million. The majority of the funds will be used for the further expansion of activities.

The debentures are of the same series as the debentures issued in February of this year, and have the same terms as these debentures. The debentures, having a par value of NIS 350 million, were issued at a premium of 2% and have an AA^- rating from Ma’alot, Standard & Poor’s affiliate in Israel. For an overview of the terms of the debentures, reference is made to the press release dated 21 February 2007. Since the debentures are denominated in NIS, Kardan intends to convert the debentures from NIS to Euro at either a fixed or floating interest rate.

The debentures will be listed on the Tel Aviv Stock Exchange and are expected to be admitted to trading soon.

About Kardan

Kardan is an international investment company with a focus on three sectors: Real Estate, Financial Services and Infrastructure. Kardan is primarily active in Central and Eastern Europe, 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. Total assets per December 31, 2006 amounted to USD 2.9 billion, with revenues of USD 700.7 million. The number of employees engaged by the group is approximately 7,980 as of December 31, 2006. Kardan is listed on Euronext Amsterdam and the Tel-Aviv Stock Exchange.

For further information please contact:

Citigate First Financial
phone +31 (0)20 575 40 10

Floor van Maaren

mobile +31(0)6 29 59 77 46

Uneke Dekkers

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