Welcome to the forum!
Have you had the distributor rebuilt before when the engine was rebuilt 5 years ago?
If not, maybe you can consider enlisting the help of another member on the forum, Benz Dr, to have it rebuilt and properly set up.
You can also change the points to an electronic setup. Pertronix and Crane springs to mind.
Use the search function with Pertronix or Crane as the keywords and you will find that quite a lot has been said about these systems before.
I also trust that your spark plugs are the nonresistor type and properly gapped, valve clearances spot on, ignition timing set and your throttle linkages setup properly.
Regards,