Tomer Food Shares Plummet 15.4% on Return to Trading; Kimelov Cuts Salary, Steps Down as Chairman

Tomer Food's stock plunged 15.4% upon its return to trading, raising questions about the food importer's recovery from a significant crisis over the past two months. The decline occurred despite the company's implemented measures, including separating the chairman and CEO roles, previously held by founder Doron Kimelov. Riviv Brookmeyer has been appointed chairman, and Guy Freeman is now CFO and Deputy CEO, overseeing compliance. These changes follow conclusions from an independent investigation committee formed two months ago when trading was suspended. The suspension followed the resignation of CFO Avital Cherny, who had identified irregularities in the company's accounting practices for inventory shortly after her appointment. Allegations suggest Doron Kimelov, directly and through subordinates, interfered with inventory valuation, creating a reported net profit of approximately 3 million shekels in 2025, which was later erased after the revelations and correction of financial reports. Kimelov has agreed to a 15% gross salary reduction to about 83,000 shekels per month by the end of next year and has forfeited his annual bonus for this year. Concurrently, Brookmeyer was hired as chairman on a 40% basis, with an annual salary of 887,000 shekels, and Freeman was appointed to the newly created position of Deputy CEO. These appointments come at a medium-sized company with 2025 sales of 234 million shekels, which, after adjustments, reported no net profit for the past year. Tomer Food became public in May through a merger with Sipia, becoming a wholly-owned subsidiary. Kimelov and Mor Langerman, who initiated the merger, received 70.99% and 4% of the merged company's shares, respectively. Shareholders approved a 2.82 million shekel compensation package for Kimelov, including the maximum annual bonus. Kimelov's family members are also employed by the company: his son, Tomer Kimelov, is Deputy CEO of Regulation and Import earning 40,000 shekels gross monthly plus benefits; his wife, Eila Kimelov, is a part-time Advertising and Media Manager (25%) earning 5,000 shekels gross monthly plus benefits; his daughter-in-law, Nitzan Lapidot, is a part-time translator (25%) earning 3,500 shekels gross monthly plus benefits and a company car; and his daughter, Maayan Levi, is a part-time graphic designer (59%) earning 10,000 shekels monthly plus benefits and a company car. In 2025, the total compensation for Kimelov and his family amounted to 1.9 million shekels, with 1.2 million going to Kimelov himself.