IMCO Group has signed a multi-year framework agreement with the Israeli Ministry of Defense (MoD) under which it will manufacture and supply electrical systems and subsystems for Israeli armoured vehicles, the company announced on 6 May 2024.
The deal, worth an estimated NIS 377 million (EUR 94.3 million) and covering the period 2024 to 2030, will see the company supply advanced video management systems, power management systems and harnesses for AFVs including the Merkava main battle tank and the Namer and Eitan armoured personnel carriers (APCs), which form the core of the armoured manoeuvre forces of the Israel Defense Forces (IDF).
“This new agreement will enable the group to supply state-of-the-art, combat-proven systems to those tanks and APCs, ensuring their continued effectiveness and resilience,” IMCO stated in a press release. “Replacing a previous agreement from 2020, this multi-year framework expands the scope beyond the current agreement. IMCO Group is expected to complete the production and supply of products under the existing agreement during 2024-2025, while simultaneously commencing manufacturing and supply under the new agreement’s terms.”
As of the first quarter of 2024, IMCO Group’s total order backlog stands at approximately NIS 350 million. The new agreement is expected to more than double that to a total of approximately NIS 725 million. The production and supply of the systems will be carried out by various companies within the group, including Nir Or, IMCO Projects and ADTI in the United States.
“IMCO Group is proud to contribute to the strength of the IDF,” Ariel Kandel, CEO of IMCO Group, was quoted as saying in a company press release. “The advanced systems we provide are the result of years of research and development, production, and maintenance. The systems developed and manufactured by our group adapt to changing requirements and have been proven on the battlefield. We are confident that these systems will help carry out tasks in a more efficient and safer manner.”
