Israeli State Security Firm Tomer Plans Stock Market Listing Within Two Years

Tomer, an Israeli government-owned security company specializing in rocket propulsion systems, is preparing to list its shares on the stock exchange within approximately two years. Initially, the company is working on issuing bonds on the local stock market and becoming a reporting company, a process it has been advancing for over a year. Tomer was established in 2015 following the split of Israel Aerospace Industries (IAI) and focuses on producing engines for Arrow missiles, artillery rockets, and satellite launchers.

The intention to go public was revealed by Roy Kahlon, head of the Government Companies Authority, during a government companies conference at the stock exchange. Under CEO Dotan Gabay, who took office in February 2024, and Chairman Roni Moreno, Tomer has sought to issue bonds for more than a year. However, the company faces challenges in disclosing full data to the public due to national security concerns, which delays its financial reporting to the Israel Securities Authority and the broader investor community.

Tomer is not the only government defense company preparing for a public offering; Israel Aerospace Industries and Rafael Advanced Defense Systems are also expected to go public soon, with valuations estimated above 100 billion shekels each, potentially listing on both the local and New York stock exchanges. Tomer's rocket propulsion operations were excluded from IAI's 2018 privatization and retained under Tomer due to their sensitive nature. The company employs around 900 people, recorded sales of about 550 million shekels in 2024, and paid its first dividend to the state in late 2025, distributing approximately 18 million shekels, representing 50% of its profits.