ABN AMRO to divest LeasePlan Corporation to consortium of investors led by Volkswagen Group
By Our Banking Bureau | 26 Apr 2004
Following the completion of the transaction, the Volkswagen Group will hold 50 per cent of the shares in LeasePlan Corporation. Two co-investors, the Mubadala Development Company, based in Abu Dhabi, and Olayan Group, based in Athens, will each own 25 per cent.
"We want to focus on our core activities as defined by our strategy," said Tom de Swaan, ABN AMRO's Chief Financial Officer and member of the managing board. "And although LeasePlan Corporation is a great business with a strong market position in fleet management, it was no longer part of our core business. Therefore, we believe it is to the benefit of the stakeholders of both companies that LeasePlan Corporation becomes part of a group that considers the fleet management industry of key strategic importance."
LeasePlan Corporation is the European market leader in operational multi-brand car leasing and one of the world's leading companies in fleet management services. It has activities in 26 countries, over 7,000 employees and 1.2 million vehicles under management.
LeasePlan has also been operating in the Indian market for 4.5 years, and holds the No.1 position in this business with a fleet size of over 6,600 vehicles.
Hugo Levecke, chairman of the Managing Board and CEO of LeasePlan Corporation said: "We are very pleased with this transaction. The combination of three long-term strategic shareholders will enable us to continue our business strategy focused on providing first class multi-brand fleet management services on a world wide scale. We have always valued ABN AMRO as our shareholder and thank them for their support throughout the years. We look forward to working together with Volkswagen Group, the Mubadala Development Company and Olayan Group, which we expect will bring, next to solid financial support, interesting strategic opportunities."
ABN AMRO Corporate Finance acted as financial adviser to ABN AMRO.
