IC Power Ltd., a Wholly-Owned Subsidiary of Kenon Holdings Ltd., Withdraws Initial Public Offering Due to Market Conditions

SINGAPORE, Feb. 2, 2017

"In light of current market conditions, we believe that our proposed IPO is not in the best interests of our company and our shareholder at this time, and accordingly, we have decided to withdraw our IPO," said Javier Garcia-Burgos, Chief Executive Officer of IC Power.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities, nor shall there be any sales of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About IC Power

IC Power is a leading owner, developer and operator of power generation facilities located in key energy markets in Latin America, the Caribbean and Israel. The power generation companies within IC Power's portfolio, which currently represent a total installed capacity of 3,894 MW, utilize a range of energy sources and are principally located in Latin American markets. IC Power is the principal power producer in its largest market, Peru, which currently accounts for 2,189 MW, or 56%, of IC Power's installed capacity.

In January 2016, IC Power completed its acquisition in Guatemala of Energuate, an electricity distributor, which had 1.6 million customers at the time of acquisition, marking IC Power's initial entry in the electricity distribution sector.