AFS.L Regulatory News (AFS)

12 August 2021

Amiad Water Systems Ltd.

("Amiad" or the "Company")

Update on Transfer of Listing to TASE

Further to the Company's announcement of 10 August 2021, Amiad (AIM: AFS), a leading global producer of water treatment and filtration solutions, announces that its prospectus (the "Prospectus") in relation to the admission of the Ordinary Shares of the Company to trading on the Tel Aviv Stock Exchange (the "TASE Listing") has today been published in Hebrew on MAYA, the online system of the Tel Aviv Stock Exchange ("TASE") for corporate disclosures. This follows the Company's receipt of approval for the TASE Listing from TASE and the Israeli Securities Authority ("ISA").

The Company anticipates that trading in its Ordinary Shares will commence on TASE at 7.30am-8.30am BST on 23 August 2021 and that the cancellation of admission of the Company's Ordinary Shares to trading on AIM (the "AIM Cancellation") will become effective at 7.00am BST on 26 August 2021.

The Company's Ordinary Shares will trade on TASE under the symbols 'AMD' and 'עמעד'.

Dealing in shares following the TASE Listing and AIM Cancellation

Following the TASE Listing and the AIM Cancellation, all shareholders will retain their existing holdings.

With effect from the AIM Cancellation, the appointment of Link Group as the depository in respect of the depository interests shall be terminated and, from close of business on the date of the AIM Cancellation, the depository interests will cease to be eligible to settle in CREST.

Under Israeli law and TASE rules, once listed on TASE, the Company will be unable to provide share certificates or maintain a share register outside of Israel. Accordingly, shareholders and depository interest holders are strongly encouraged to transfer their holdings to a bank or broker who is or has an Israeli affiliate or correspondent broker and which, in either case, is a member of TASE or is able to make arrangements with the Israeli nominee of such a member (an "Israeli Representative") no later than five Business Days (whether in London or Tel Aviv) before the date of the AIM Cancellation.

To the extent that shareholders do not transfer their holdings to an Israeli Representative by no later than five Business Days before the date of the AIM Cancellation, all share certificates will be cancelled and electronic shares will be issued in place of them to Reznik Raz Nevo Trusts Ltd., an Israeli nominee appointed by the Company (the "Appointed Nominee"), who will hold the Ordinary Shares on behalf of such shareholder until such time as the relevant shareholder transfers their holding to an Israeli Representative in the manner specified above.

Following the AIM Cancellation, shareholders will be unable to trade their Ordinary Shares unless and until they transfer their holdings to an Israeli Representative in the manner specified above.

If a shareholder's Ordinary Shares are held by the Appointed Nominee and they wish to vote those Ordinary Shares, receive dividends in respect of those Ordinary Shares or transfer those Ordinary Shares from the Appointed Nominee to an Israeli Representative, shareholders will need to contact the Company and the Appointed Nominee and provide them with evidence of their identity which, for an individual, will be a copy of their identity card or passport and, in the case of a company or other corporate entity, a certification of incorporation along with any other document required by the Company and the Appointed Nominee for that purpose.

For further assistance, shareholders can email info@amiad.com.

Related party arrangements

As stipulated by the ISA pursuant to the TASE Listing and as disclosed in the Prospectus, the Company has put in place certain internal policies that set the following annual maximum payment amounts in relation to its engagement with Polyram Plastic Industries Ltd. ("Polyram") and Kibbutz Amiad:

· The annual consideration paid to Polyram, the Company's largest plastic raw materials supplier, will not exceed US$5m. The Company orders plastic materials from Polyram from time to time via purchase orders throughout the year as required. Polyram is an affiliate of FIMI Opportunity Funds, which is a substantial shareholder in the Company (as defined under the AIM Rules for Companies (the "AIM Rules")) and a controlling shareholder of the Company (as defined under the Israeli Companies Law 5759-1999 (the "Israeli Companies Law")).

· Any increase in rent paid to Kibbutz Amiad in respect of the site of the Company's headquarters will not exceed more than 10% of the most recent valuation produced by a professional appraiser (with appraisals being conducted at least once every three years). Kibbutz Amiad is an affiliated entity of HaChoshlim Foundation - Agriculture Cooperative Society for Business Ltd., which is a substantial shareholder in the Company (as defined under the AIM Rules) and a controlling shareholder of the Company through its wholly-owned subsidiary, A.M.SI. Investments (1997) Ltd.

To exceed these limits, the Company would first need to obtain the requisite approvals pursuant to the Israeli Companies Law, being those of the Company's Audit Committee, Board and, in certain circumstances, shareholders. No changes are being made to the existing contractual arrangements with these related parties.

This announcement contains inside information for the purposes of the Market Abuse Regulation (596/2014/EU) as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018. The person responsible for arranging for the release of this announcement on behalf of the Company is Dori Ivzori, Chief Executive Officer.

Enquiries

About Amiad

Amiad Water Systems (AIM: AFS) is a leading global producer of automatic, self-cleaning water treatment and filtration products and systems. Through its engineering skills and ability to innovate, Amiad provides cost-effective "green" solutions for irrigation and industrial purposes. In these markets, its unique and high-quality products are being integrated into the core of systems for filtration and water treatment, micro irrigation and membrane protection, wastewater and potable water treatment, cooling systems and sea water filtration. Headquartered in Israel, Amiad provides these solutions through ten subsidiaries and a comprehensive network of distributors to customers in more than 80 countries.

FIMI Opportunity Funds, the leading private equity investor in Israel, is a controlling shareholder of Amiad, with an interest in 42.8% of the Company's outstanding issued share capital.

For additional information or product details, please visit www.amiad.com.