Globrands, the cigarette distributor, has lost its long-running franchise to distribute JTI’s Camel and Winston brands. The company warned that the loss will reduce future profit by 35 million shekels, and its shares plunged 34% in Tel Aviv trading.
Globrands has marketed Winston and Camel in Israel for about 25 years, starting in 2001, when the brands had only a tiny market share. Today, they are estimated to account for about 28% of industry sales. Its agreement with JTI was due to end in February 2027, but JTI said it had been negotiating with other local distributors and decided to part ways with Globrands because of disagreements over commercial terms.
The company had previously said losing JTI’s tobacco products would hurt annual profit in 2027 compared with 2024 and 2025. JTI brands made up 46.2% of Globrands’ sales in 2025, 45.3% in 2024 and 45.1% in 2023. Globrands now says it will examine strategic alternatives, including working with suppliers from different fields, to use its sales and distribution network and reduce costs.
In May, Globrands also announced cuts to its snacks and confectionery division as part of an efficiency drive to improve profitability. It said it would keep only its own brands, the WIN protein products and SalySol, while gradually ending snacks and sweets operations by the fourth quarter of 2026. Founded in 2000 and owned by the Gazit family, the company is controlled by Yarón Gazit, who holds 41% and chairs the board. Fishman Holdings owns 25%, board member Gadi Nezer holds 4%, and the public owns 30%.
