TGL SP Industries Limited, Israel’s second largest rubber company, has been sold to Duram Rubber Products.

TGL SP Industries Limited, Israel’s second largest rubber company, has been sold to Duram Rubber Products.  TGL is mostly known for its complete production of road wheels and tracks for armored vehicles.  Until recently it was the sole supplier of the Israeli Defense Forces for the Merkava tank road and support wheels.  The conflict Israel is facing now has caused a very sharp increase in TGL’s backlog, which exceeds $40 million right now.

The Purchase Agreement was signed last week and the closing is expected on 30 October 2024.

Duram, which belongs to Kibbutz Ramat Hakovesh, has specialized in the food industry and is selling its products worldwide.  It is considered the most profitable rubber company in Israel.  They see a lot of synergy in the acquisition of TGL as entry to the Defense Industry and completion of their line of water diaphragm.  The acquisition will make Duram the largest rubber company by size. TGL will continue to operate in Tsiporit (near Nazareth) in the Galilee and Duram intends to invest heavily in developing the company on site and transfer some of its activity from Ramat Hakovesh to Tsiporit. 

Mr. Jacob Peled, Executive Chairman of Pelmar Engineering Limited, the owners of TGL, expressed satisfaction with the transaction, particularly as it ensures continuation and development of the company, which just celebrated its 72nd year anniversary.