Amsterdam, January 13, 2011 - Kardan N.V. ("Kardan"), mainly active in Real Estate, Financial Services and (Water) Infrastructure in emerging markets, announces that today its 74% subsidiary Kardan Israel Ltd. ("Kardan Israel") signed an agreement to purchase the controlling stake in AVIS Israel and to simultaneously end its partnership with Dan Company for Public Transport Ltd. ("Dan") in Emed Real Estate Development & Investments Ltd. ("Emed").

Kardan Israel currently holds 50% of the Emed shares through its subsidiary Kardan Emed Properties Ltd.("Emed Properties"). The other 50% of the Emed shares are held by Dan, Nahor Ltd., as well as by Dan members ("Dan Group"). Emed holds 54.25% of AVIS Israel shares, which activities comprise both short term rental as well as operating leases.

On January 12, 2011, Kardan Israel signed two agreements: 1) to end the joint control held by Kardan Israel and Dan in Emed and 2) to increase its indirect holding in AVIS (via Emed) as follows.
Kardan Israel will purchase from Emed its 54.25% stake in AVIS Israel, in consideration for NIS (Israeli Shekel) 334 million (approximately EUR 72 million). Following the purchase, Kardan Israel will hold control a controlling stake of 68% in AVIS Israel. The transaction reflects a value of NIS 615 million (approximately EUR 133 million) for AVIS Israel.
In addition, Kardan Israel will sell its stake in Emed Properties to the Dan Group for a consideration of NIS 359 million (approximately EUR 77 million).

The agreements provide for a reciprocal waiver of claims by all parties. The completion of the transactions is subject to conditions precedent. In addition, the agreements are interdependent and the closing of one is condition for the closing of the other.
The completion of the transaction is expected within three months.