BNP Paribas in exclusive talks to acquire Mercedes-Benz’s car-leasing arm Athlon in €1 billion deal
By Axel Miller | 18 Dec 2025
BNP Paribas has entered exclusive negotiations with Mercedes-Benz Group to acquire its car-leasing subsidiary, Athlon, in a transaction valued at approximately €1 billion ($1.17 billion). The proposed deal signals a major consolidation in the European mobility sector as financial institutions look to secure stable, recurring revenue streams.
If completed, the acquisition would significantly bolster the BNP Paribas Arval unit. Athlon’s multi-brand portfolio of roughly 400,000 vehicles across 10 European countries would lift Arval’s total fleet from 1.9 million to nearly 2.3 million vehicles. This move establishes the combined entity as a “European co-leader” in full-service leasing, significantly narrowing the gap with market leader Ayvens (owned by Société Générale), which currently manages a funded fleet of 2.6 million vehicles.
Strategic rationale: capital vs. mobility
For Mercedes-Benz, the divestment is a tactical move to free up capital for its core automotive transition and software development. The automaker has been reviewing its non-core assets throughout 2025 to mitigate risks associated with volatile electric vehicle (EV) residual values—a risk factor that specialized financial institutions like BNP Paribas are better equipped to manage.
Thierry Laborde, Chief Operating Officer of BNP Paribas, described the transaction as a “key step” in the bank’s mobility strategy. “The future integration of Athlon would make Arval and the BNP Paribas group a unique and powerful player in the European mobility market,” Laborde stated in today’s official briefing.
Financial projections and capital impact
BNP Paribas expects the deal to be highly accretive, delivering an estimated return on invested capital (ROIC) of 18%. By the third year after completion, the transaction is projected to contribute close to €200 million to the group’s net income.
From a capital perspective, the bank expects a manageable impact. The acquisition is projected to reduce the common equity tier 1 (CET1) ratio by approximately 13 basis points. This impact has already been factored into the BNP Paribas target capital trajectory of 13% by the end of 2027.
Timeline to completion
The parties aim to finalize the information and consultation process with employee representative bodies in the coming months. The completion of the acquisition is expected in 2026, with current projections targeting a close in the third quarter of 2026, following receipt of necessary regulatory approvals.
Summary
BNP Paribas is in exclusive negotiations to acquire the Mercedes-Benz Athlon unit for approximately €1 billion. The deal will expand Arval’s fleet to 2.3 million vehicles, positioning it as a European co-leader in the leasing market. The acquisition is expected to deliver an 18% ROIC and add €200m to net income by year 3, while allowing Mercedes-Benz to re-allocate capital to its core EV manufacturing business.
Frequently asked questions (FAQs)
Q1: What is the value of the BNP Paribas-Athlon deal?
The transaction is valued at approximately €1 billion ($1.17 billion).
Q2: How will this change Arval’s market position?
It will add 400,000 vehicles to Arval’s fleet, bringing the total to 2.3 million, making it a “European co-leader” alongside Ayvens.
Q3: Why is Mercedes-Benz selling Athlon?
To focus capital on its core EV development and software rather than the capital-intensive leasing sector.
Q4: What are the expected financial returns for BNP Paribas?
The bank targets an 18% ROIC and expects a profit contribution of nearly €200 million by the third year.
Q5: When will the acquisition be completed?
The deal is expected to close in the third quarter of 2026, subject to regulatory approvals.
Q6: Will this affect BNP Paribas’ dividend or capital targets?
No. The 13-basis point capital impact is already included in the bank’s existing trajectory to maintain a 13% CET1 ratio through 2027.
