Company Update

B.S.D. CROWN LTD - Company Update

PR Newswire

London, October 20

B.S.D Crown LTD (LSE: BSD)

("BSD" or the “Company”)

Company Update

Ramat Gan, Israel, 20 October, 2015

 Application for Liquidation and Appointment of Temporary Liquidators for Israel 18 BV, Controlling Shareholder of the Company

The Company hereby announces that on 19 October 2015 it received notice from its ultimate controlling shareholder, Israel 18 BV (“Israel 18”), that an urgent motion has been filed against it by Fortissimo Capital Management Ltd (”Fortissimo”), S.G. Textile Holdings Ltd and Z. Birinboim Holdings Ltd (jointly referred to as “S.G.”), (Fortissimo and S.G. to be jointly referred to as the “Applicants”) in the District Court of Haifa for liquidation and the appointment of temporary liquidators for Israel 18. The motion is based on the claim that Israel 18 has failed to comply with its debt obligations towards the Applicants (the “Applications”).

The hearing to determine the status of the parties is scheduled for today at 12 noon (BST).

The position of Israel 18, as presented to the Company, is that it challenges the Applications submitted against it and intends to fulfill its full debt obligations owed to the Applicants.

Enquiries:

Emil Budilovsky, Joint CEO, CFO and Company Secretary; [email protected]