Alphabet acquires ING Car Lease
The deal will provide Alphabet with expanded services in 16 European countries.
'In the growing European fleet management market, ING Car Lease is the perfect fit to complement the activities of Alphabet. Alphabet will increase the number of company car contracts under management to approximately 540,000 and thus consolidate its competitive lead in the European fleet management market,' said Norbert van den Eijnden, head of Alphabet.
Part of the Dutch ING Groep NV, ING Car Lease specialises in car leasing and fleet management, with 240,000 vehicles in eight countries in Europe. It had a total workforce of around 1,200 employees as of 31 December 2010.
ING has been revamping its business since it was bailed out by the Dutch state during the 2008 financial crisis, and plans to separate its banking and insurance arms by the end of 2012. Last month it agreed to sell its US internet banking business to Capital One for $9bn.
Alphabet, part of BMW, has a financed car volume of approximately 200,000 vehicles and manages more than 300,000 company car contracts for over 12,000 customers.
The firm said that the acquisition fits in with the BMW Group Strategy to be the leading provider of premium products and premium services for individual mobility. Solutions that it is developing include the Corporate Car Sharing initiative.
'Alphabet is concentrating on the growing full-service fleet management sector and is developing products and services for sustainable and efficient corporate mobility management. Alphabet already assists our corporate customers to manage a sustainable fleet with a focus on low fuel consumption. Fleet management will also support the introduction of electric vehicles,' added Mr van den Eijnden.
The deal is expected to close in the fourth quarter of 2011 and is subject to regulatory approvals.For more of the latest industry news, click here.