Amsterdam, March 6, 2015 – Kardan N.V. (‘Kardan’/ the ‘Company’), active in Real Estate, Water Infrastructure and Financial Services in emerging markets, announces that – further to the press release of January 15 last - its indirectly held subsidiary Tahal Group Assets BV (‘Tahal Assets’) has completed the first phase (75%) of the sale of its shares in the Chinese water infrastructure company Kardan Water International Group Ltd. (‘KWIG’) to China Gezhouba Group Investment Holding Co. Ltd. (‘CGGC Investment’) (the ‘Transaction’).

CGGC Investment paid Tahal Assets an amount of USD 68 million (approximately EUR 61 million), which reflects 90% of the consideration for 75% of KWIG’s shares; the remaining 10% amounting to USD 7.5 million (approximately EUR 6.8 million) will be paid in 10 days.
In addition, the buyer repaid all outstanding loans provided to KWIG by Kardan Group companies, totaling approximately USD 48.5 million (approximately EUR 43 million).

The received funds will be used by Tahal for its ongoing business operations as well as for repayment of debt, both on Tahal and Kardan level.

The Company estimates that the Transaction will generate a net profit of approximately EUR 5 million, although it is still investigating all aspects of the Transaction.

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