In the late 1990s RAFAEL evaluated the development of a short range anti-tank weapon to replace the M47 Dragon. The weapon's preliminary designation was Spike SR, reflecting the association to the Spike multi-purpose missile family. Spike SR  was defined as a personal, lightweight (9kg)  anti-armor, fire and forget missile. It was planned to be optimized for operation at short ranges of 50 - 800 meters.

Among the specifications was capability to operate from confined spaces, therefore enabling the operators to take firing positions in bunkers, buildings etc. - an essential capability for urban warfare. Spike SR was planned to be fitted with a tandem warhead, designed to defeat heavy armor. At present (2006), reflecting tn changing requirements for solutions for low-intensity warfare in urban environment, RAFAEL is focusing its developmental activity in the heavier versions of the Spike family. Their lightweight, short range urban weapons are based on Panzerfaust launcher from Dynamit Nobel, which is now designated Matador. RAFAEL offers two versions of the Matador - a wall breaching system, designated Matador WB, a lightweight multi-purpose bunker-busting/anti-tank weapon - the Matador MP. This weapon was selected and is in development  for the Army of Singapore, under cooperation between Dynamit Nobel Dynamics (DND) and Singapore's Defence Science & Technology Agency (DSTA).