Elron Announces Annual General Meeting of Shareholders on September 24, 2009

Elron Electronic Industries Ltd. (NASDAQ:ELRN) (TASE:ELRN) today announced that it will hold its Annual General Meeting of Shareholders at 10:30 am, Israel time, on September 24, 2009, at the Company's offices at 3 Azrieli Center, the Triangular Tower, 42^nd Floor, Tel Aviv, Israel.

At the shareholders meeting, the shareholders will be asked to:

(1) elect nine (9) directors to the Board of Directors of the Company;

(2) approve the agreement, in which a "Controlling Person" in the Company has a personal interest, for the sale of the Company's holding in NetVision Ltd., for an aggregate purchase price of approximately NIS228.7 million (currently equal to approximately $60 million );

(3) approve payment of a special bonus in the amount of NIS950,000 (currently equal to approximately $250,000) to the Chairman of the Board of Directors, Mr. Arie Mientkavich;

(4) approve the renewal of the existing Consulting Agreement between the Company and Prof. Gabi Barbash, a director of the Company;

(5) appoint Kost Forer Gabbay & Kasierer, a Member of Ernst & Young Global, as the Company's auditors until the next annual general meeting of the Company and to authorize the Audit Committee and the Board of Directors to determine the audit fees; and

(6) receive and consider the Financial Statements of the Company for the fiscal year ended December 31, 2008.

On or about August 26, 2009, the Company expects to file with the U.S Securities and Exchange Commission and the Israel Securities Authority proxy materials in connection with its Annual General Meeting of Shareholders, at which time a proxy statement providing additional details will be made available at no charge on the U.S. Securities and Exchange Commission's website at http://www.sec.gov and on the Israel Securities Authority’s website at http://www.magna.isa.gov.il. On or about August 28, 2009 the Company expects to mail the proxy statement to its shareholders of record.

Elron Electronic Industries Ltd. (NASDAQ:ELRN) (TASE:ELRN), a member of the IDB Holding group, is a high-technology holding company traded in the Nasdaq and in the Tel-Aviv Stock Exchange. Elron’s group companies currently comprise a diverse range of publicly-traded and privately held companies primarily in the fields of medical devices, information & communications technology, clean technology and semiconductors. Included in our group companies are well established companies who are leaders in their fields, such as Given Imaging and 013 NetVision, together with innovative start-up companies who possess growth potential in Israel and the rest of the world. For further information, please visit www.elron.com.