Kafrit Industries 1993 : COMPANY PRESENTATION

WELCOME

TO KAFRIT GROUP

COMPANY PRESENTATION

Disclaimer

This presentation does not constitute an offering to purchase or sell securities of Kafrit Group Ltd. (the "Company") or an offer for the receipt of such offerings.

The presentation's sole purpose is to provide information. The information contained in the presentation and any other information provided during the presentation (the "Information") does not constitute a basis for investment decisions and does not comprise a recommendation, an opinion or a substitute for the investor's sole discretion. The Information provided in the presentation

concerning the analysis of the Company's activity is only an extract, and in order to receive a complete picture of the Company's activity and the risks it faces, one should review the Company's reports to the Israel Securities Authority and the Tel Aviv Stock Exchange.

The Company is not liable, and will not be held liable, for any damage and/or loss that may be caused as a result of use of the Information.

The presentation may contain forward-looking statements as defined in the Israeli Securities Law, 5728-1968. All forward-looking statements in this presentation are made based on the Company's current expectations evaluations and forecasts, and actual results may differ materially from those anticipated, in whole or in part, as a result of different factors including, but not limited to, changes in market conditions and in the competitive and business environment, regulatory changes, currency fluctuations or the occurrence of one or more of the Company's risk factors. In addition, forward-looking forecasts and evaluations are based on information in the Company's possession while preparing the presentation.

The Company does not undertake any obligation to update forward-looking forecasts and evaluations made herein to reflect events and/or circumstances that may occur after this presentation was prepared.

Working together for the future of plastics.

2

The current reality for KAFRIT IL

Over the last months, KAFRIT IL has faced challenges that have tested us not just as a company, but as human beings. We've experienced unimaginable loss, and now have a new responsibility to our team members, families, customers, and partners.

KAFRIT IL was born in Kibbutz Kfar-Aza, where the October 7th attacks have left every one of our people in the kibbutz feeling an unprecedented loss. We were devastated to lose our team member Dorit Bar Ilan, our Board member Aviv Kutz, and our SVP Business Development & Innovation Nadav Goldstein.

In the wake of the tragedy, we're committed to using our knowledge and resources to help our team members, families and the Kibbutz Kfar-Aza community move forward. Our focus on people has always driven our ESG commitments and goals, and today this matters more than ever, both to our people and the people of Israel. We've been sending food to families of recruited individuals, financial assistance to those who need it, and paid salaries to those who can't work.

Thanks to the collaborative culture among Kafrit Group's companies and partners, we've kept our business active and resilient, and maintained our high standards of client service, and we were releasing materials under military protection.

Since November 8th, the KAFRIT IL plant came gradually back to operations, becoming fully operational since mid December 2023. Working together, we started, and we will overcome these obstacles, advance our commitments to all our stakeholders, and emerge stronger than ever.

Working together for the future of plastics.

3

Our Place in the Supply Chain

Suppliers		Compounders		Plastic		Consumers
		Manufacturer
Polymers and		Solutions for Plastic		Final Products
Additives Producers		Manufacturers

We are here

Working together for the future of plastics. 4

Kafrit Group

Masterbatches and Compounds engineered for the future of plastics

Our purpose is

to unite talent and technology to drive the future of plastics, together.

6

Enhance our strong Business Portfolio while Increasing Profitability driven by a significant Transformation from a Production-based Company to a Customer-Centric Company, focused on Added Value Service

Strategic Pillars

Higher Profitability in Business Units		Drive the future, together

Mission

Customer Experience

Operational Excellence

Product Technology

Focus in Colors

Be the Best-in-Class				Develop innovative		Become a Multi-Local
	Excel in every step of the		products and integrate		Player in Colors and
Service and Solution
	Supply chain		new technologies that		enter complementary
Provider
			enable a better future		segments

Develop our Talent

Foster a culture of

collaboration inside and

outside

Action

• Design & implement strong customer experience model
• Innovative Pricing system based on Technology
• Automation in handling materials
• Embrace data analytics in Operations
• Unlock Raw Material Group's opportunity

• Strategic alliances for breakthrough innovation
• Improve Portfolio mix towards innovative solutions
• Product Innovation to help our customers become more eco-friendly

• Acquisitions & PMI
• Transfer & leverage of knowledge

• Upskill our people
• Implement the Sustainability Agenda
• Promote communities (internally and externally)

Key Enabler

Data Technology, Digital Transformation

Working together for the future of plastics.

7

Kafrit Sustainability Strategy for 2030

Our Sustainability aspirations are that our People, Products' design and our aligned Actions, together with our Stakeholders - will make a Better World.

Areas of Action

Mission

Operating Sustainably

We continuously limit

the

negative impact our

operations have on the

environment

Living Sustainably		Innovating Sustainably		Business Developing
		Sustainably

We work to ensure that		We help our Customers		We Balance our Portfolio
our people are safe and		to become more eco-		through Relevant
act according to our		friendly through Product		Business Development
values		Innovation		and Strategic Alliances

Report Sustainably		We measure our actions, setting long and short-term goals striving to achieve results and Report them

Working together for the future of plastics.

8

MULTI-NATIONAL

PLAYER

~800

EMPLOYEES

~80

PRODUCTION LINES

~150,000

MT CAPACITY

Including 2024 acquisitions

Working together for the future of plastics.

9

Milestones

Founded in Kibbutz

Kfar Aza, PVC

Compounds

1973

IPO

(Tel Aviv Stock

Exchange)

1993

Acquisition of CONSTAB

Suzhou Engineering

Plastic (China), 51%

2008

Becoming a sole shareholder

in both CONSTAB CN and

KAFRIT NA

2012/3

1978

Expansion into

Polyolefins

Masterbatches

2003

Acquisition of CONSTAB

Polyolefin Additives Gmbh

(Germany)

2009

Acquisition of Silon NA. (Canada), 51% (Name changed to: KAFRIT NA)

	Acquisition of		Creation of			Acquisition of
	ADDVANZE AB		KASA partnership		BADGER Color Concentrates
	(Sweden)		(Israel)			(USA)
	2021		2023			2024
2018		2022			2024
Acquisition of		Acquisition of			Acquisition of
POLYFIL Inc.	Delta Kunststoffe	ABSA Resin Technologies
(USA)	(GER)		(Canada)
						Working together for the future of plastics.	10