Alony Hetz Properties & Investments : Q1 CORPORATE PRESENTATION 2024

This document constitutes an unofficial translation of the original Hebrew document. The Hebrew version is the binding version. This translation was prepared for convenience purposes only.

First Quarter of

2024

AMOT, ToHa1, Tel Aviv

1

Alony Hetz

General Notes to the Presentation

AMOT Campus, Holon

• This presentation was prepared by Alony Hetz Properties and Investments Ltd. ("the Company"), and is intended solely for investors. It does not constitute an offer to purchase or sell securities of the Company or an invitation to receive bids, as noted, and is intended solely to provide information. The information presented does not constitute a basis for reaching an investment decision, recommendation or opinion and is not a substitute for the investor's judgment.
• The contents of the presentation, in all that relates to an analysis of the operations of the Company and its investees, is merely a summary, and in order to obtain a complete picture of the Company's activities and the risks with which the Company contends, one should review the Company's shelf prospectus, its immediate, periodic and quarterly reports that are reported through the MAGNA system ("the public information"). The presentation includes data and information that are presented and edited differently than the data included in the said reports or such that could be calculated from the data included in the Company's reports. The information presented herein is not a substitute for the public information.
• Forecasts, assessments, estimates, data related to future events, whose materialization is not certain and is not under the control of the Company and its investees, macroeconomic forecasts, development of trends in the real estate and energy markets, changes in rental prices and occupancies, changes in electricity prices and the quantity produced, revenue forecasts, calculations of NOI and FFO forecasts, the calculation of projected NOI and yield rates on a stabilized basis, dividends forecast for 2024, the initiation and construction of projects, including projects in the energy field (expected timetables, construction costs, data related to expected connection of plants to the electricity grids and future revenues), are forward- looking information, as defined in Section 32A of the Securities Law (1968), and such information is based solely on the subjective assessment of the Company, which was conducted in good faith, based on past experience and the professional know-how aggregated by the Company, based on facts and data related to the current state of the businesses of the Company and its investees, and on facts and macroeconomic data gathered by the Company from other sources, all as known to the Company when this presentation was prepared ("forward-lookinginformation").
• The materialization or non-materialization of the forward-looking information will be impacted, inter alia, by risk factors that characterize the operations of the Company and its investees, and by developments in the

economic and geopolitical environment (globally in general and in Israel in particular), and therefore, the
Company's operating results could differ significantly from that provided in this presentation.	2

CARR, 1700 NY Ave, Washington DC

3

Alony Hetz

Business Strategy

CARR, One Congress, Boston

Focus on two sectors

• Income-producingproperties
• Renewable energy

The Group companies generate constant, stable and long-termcash flows.

Conservative financial management policy - maintaining a high level of unpledged assets, financial liabilities with long- term durations, diverse credit sources, maintaining unutilized credit facilities and efficient leverage ratios.

The Group companies are engaged in the development of projects in accordance with the scopes determined by the boards of directors of the group companies.

The Group operates with an awareness of the responsibility for and consequences of its activities on the areas of environmental protection, social responsibility and

corporate governance.4

,CARR

Alony Hetz

Holdings Structure as of publication date of this presentation

Income-producing properties		Renewable energy

Israel

USA

UK

Israel / USA / Poland

51.1%

Offices, retail, industrial parks and logistics

TASE: included in

TA-35 Index

47.7%

Offices in Washington,

Boston and Austin

(50% joint control with JPM)

55.0%

Offices in Boston (50% joint control with Oxford Properties)

83.7 %	50.3%
Offices and research	Electricity generating
laboratories in London,	systems that use
Cambridge and Oxford	renewable energy
	sources

TASE: included in

TA-35 Index

5

Alony Hetz Investment Portfolio

Investment Portfolio Composition as of

March 2024 Economic (*)

Other

Investments

4% 2%

10% 12.8 33%

NIS Billion

22%	29%

(*) Excludes cash and cash equivalents of NIS 1 billion.

Investment Portfolio Composition as of

March 2024 Accounting (*)

		Other
	4%	Investments
11%	2%

13% 10.5 43%

NIS Billion

27%

Forecast of Dividends for 2024 (in NIS millions) (*)

		29	47
313	676	166

NIS Million

121

In the format of a Dividend

Re-investment Plan

Until the publication date of this presentation,	(**) This is forward-looking information
dividends of NIS 206 million were received.	(see general comments on the presentation).

Changes in Investment Portfolio in Q1 2024 (NIS Millions)

10,584

316

)267(

61

)205(

257

56 Brockton

Fund III

3

)14(10,475

1.1.2024	Investments	Investees	Effect of	Dividends	Change in	31.03.2024	6
		results	exchange rate	received	capital funds
			fluctuations		and other

Alony Hetz Equity

Changes in equity

(majority shareholders)(NIS millions)

	7,638	7,710
6,402
			5,002	4,659
12.2020	12.2021	12.2022	12.2023	03.2024

Changes in Equity in First Quarter of 2024 (NIS millions)

5,002	)340(	)32(	29	4,659

London, FORA Borough, Brockton

Changes in equity per share
	(majority shareholders) (NIS)
	43.9	42.9
37.0
				1.1.2024	Loss for the	Dividend	Effect of	31.03.2024
			27.8	25.9	period		exchange rate
					fluctuations and
							other
					The Company has a policy of partially hedging
					currency exposure in respect of its investments.
12.2020	12.2021	12.2022	12.2023	03.2024				7

Alony Hetz Measurement of Net Assets Value (NAV) based on financial statements vs. Adjusted NAV

	Data from financial	Investment from	Adjustment to stock	Adjusted data	Measurement
	beginning of April 2024	value as of date of update,
(NIS millions)	as of date of
statements as of	until presentation's	including exchange rate	basis
	March 2024	publication date	adjustments	update (*)

Changes in Gross Asset Value (GAV) (in NIS millions)

15,806

15,182

Other investments (mainly in Brockton Funds)

GAV

Net financial debt (**)

4,464

1,113

2,878

1,341

457

222

10,475

(5,963)

-

-

-

-

2

-

2

(2)

(574)3,890

3,1664,279

52,883

-1,341

-459

1223

2,598		13,075

(87)(6,052)

Stock market

price

Stock market

price

Equity (IFRS)

Equity (IFRS)

Equity (IFRS)

Equity (IFRS)

13,774 13,971

13,075

May		2020	May		2021	May		2022	May		2023	May		2024

Changes in Net Asset Value (NAV) (in NIS millions)

	10,635	11,630
10,269	9,904

7,023

May		2020	May		2021	May		2022	May		2023	May		2024

Changes in NAV Per Share (in NIS)

66.7

		-
NAV(***)	4,512	2,511		7,023
NAV per	25.1				39.1
share (***)
Leverage	56.7%				46.3%

(*) Date of update for calculation of adjusted NAV (including stock market prices and exchange rates) is May 20, 2024. (**) Gross debt after deducting cash (***) Ignores deferred taxes

59.4	61.2
55.1

39.1

May		2020	May		2021	May		2022	May		2023	May		2024

8

Alony Hetz

Structure of Financial Debt and Leverage

The Company's bonds are rated "Aa3" negative outlook by Midroog and "ilAA"

Leverage, net (%)

(Company solo expanded)

negative outlook by Ma'alot.

39.2

54.1

56.7

The Company is in compliance with all the financial covenants of the bonds and credit facilities.

30.2	30.3
22.0	22.1	33.0

42.8	46.4	46.3

Amot, ToHa, Tel-Aviv

The Company has credit facilities in the amount of NIS 550 million, which are unutilized as of the presentation's publication date.

All of the Company's financial debt is non-bank credit.

None of the Company's properties are pledged.

12.2020	12.2021	12.2022	12.2023	3.2024	5.2024
											Publication
											date of
											presentation
In Books (IFRS)		According to adjusted NAV (see Slide 8)

Debt maturity dates (NIS millions)(*)

3,128

589	589	589	801
			2029
2025	2026		2027	2028
												and

	thereafter	9
*As of Publication date of presentation

Alony Hetz

FFO (NIS millions)

Washington DC ,901 K Street ,CARR

	Year 2023
Company's share in Amot's FFO according to	430
management's approach
Company's share in Energix's FFO according to	184
management's approach
Company's share in Carr's FFO	121
Company's share in Brockton Everlast's FFO	58
Company's share in AH Boston's FFO	40
Real interest expenses	)206(
General and administrative expenses	)6(
(net of management fee income)
Current taxes	)21(
Total FFO according to management's approach
		600

Adjustments to FFO according to the Securities Authority's

approach: Expenses of linkage differences on CPI linked debt )178( of the Company and its investees and exchange rate differences

FFO according to Securities	422
Authority's approach

Q1 2023

Q1 2024

107103

5456

3632

1610

109

)47()55(

)3()3(

)5(					)4(
			(12%)
	168			148

)59()17(

109	20%	131	10