Amsterdam, May 24, 2018 - Kardan N.V. (‘Kardan’ or ‘the Company’), active in Real Estate and Water Infrastructure in emerging markets announces that its (indirect) subsidiary Tahal Consulting Engineers Ltd. (‘Tahal’) won a tender (together with a partner) for the planning and execution of works for the reconstruction of two waste water and sludge treatment facilities in the city of Kharkiv, in the Ukraine (“Project”), for a total amount of approximately USD 60 million (EUR 51 million).


The Turn Key Project will be executed through a joint venture of Tahal (95%) and Khilari Infrastructure Pvt. Ltd., an Indian infrastructure company (5%). The agreement is expected to be signed within a few weeks.

The works in the Project are expected to last 36 months, followed by a defect liability period of 12-36 months, as stipulated in the agreement.

The total compensation for the Project is approximately USD 60 million (EUR 51 million). The payment terms are linked to agreed performance milestones throughout the duration of the Project, and an advance payment of 10% of the Project consideration. An amount equal to 80% of the payment for equipment to be purchased by the joint venture shall be paid against the presentation of bills of lading.
The Project will be funded from loan funds that will be taken by the client, the water company of Kharkiv, Communal Enterprise Karkivvodokanal, provided by the World Bank. The works in the Project will commence soon after the client has paid the advance payment.