NORCROSS, Ga.--(BUSINESS WIRE)--Mar. 26, 2013--
FleetCor Technologies, Inc. (NYSE: FLT), a global provider of fuel cards
and workforce payment programs to businesses, today announced that it
has acquired certain fuel card assets from GE Capital Australia’s Custom
Fleet leasing business.
GE Capital’s “Fleet Card” is a multi-branded fuel card product with
acceptance in over 6,000 fuel outlets and over 7,000 automotive service
and repair centres across Australia. Through this transaction, FleetCor
will acquire the Fleet Card product, brand, acceptance network
contracts, supplier contracts, and approximately one-third of the
customer relationships with regards to fuel cards. The remaining
customer relationships will be retained by Custom Fleet, and are
comprised of companies which have commercial relationships with Custom
Fleet beyond fueling, such as fleet management and leasing.
Ron Clarke, FleetCor’s Chairman and Chief Executive Officer commented,
“We are delighted to announce this deal with GE Capital, and continue
our global expansion by entering the Australian market. Fleet Card is a
terrific product with near universal acceptance, and we look forward to
marketing it more broadly to a wider audience.”
In conjunction with the transaction, FleetCor and GE Capital will enter
into a long term agreement under which FleetCor will provide fuel card
processing and network services to support Custom Fleet’s retained Fleet
Card customer portfolio. Custom Fleet will continue to market FleetCor’s
co-branded Fleet Cards as part of Custom Fleet’s bundled fleet
management and leasing product offering.
Andrew Egan, General Manager for Custom Fleet Australia said, "We are
excited to be working with FleetCor, as this long term arrangement will
leverage the strengths of both organisations."
“We expect this transaction to be accretive by approximately $.03 in
adjusted net income per diluted share for the period of time that we
will own the business in 2013. The 2013 cash EPS impact is also net of
about $1 million in deal related expenses,” said Eric Dey, FleetCor’s
Chief Financial Officer.
Terms of the transaction and processing agreement were not disclosed.
This press release contains forward-looking statements within the
meaning of the federal securities laws. Statements that are not
historical facts, including statements about FleetCor's beliefs,
expectations and future performance, are forward-looking statements.
Forward-looking statements can be identified by the use of words such as
"anticipate," "intend," "believe," "estimate," "plan," "seek," "project"
or "expect," "may," "will," "would," "could" or "should," the negative
of these terms or other comparable terminology. Examples of
forward-looking statements in this press release include statements
relating to FleetCor’s expansion, leverage of the processing
arrangement, and accretiveness to earnings. These forward-looking
statements are subject to a number of risks and uncertainties that could
cause actual results to differ materially from those contained in any
forward-looking statement, such as delays or failures associated with
acquisitions and the failure to successfully integrate or otherwise
achieve anticipated benefits from such acquired businesses; failure to
successfully expand business internationally; the impact of foreign
exchange rates on operations, revenue and income; the effects of general
economic conditions on commercial activity, as well as the other risks
and uncertainties identified under the caption "Risk Factors" in
FleetCor's Annual Report on Form 10-K for the year ended December 31,
2011, filed with the Securities and Exchange Commission on February 29,
2012. FleetCor believes these forward-looking statements are reasonable;
however, forward-looking statements are not a guarantee of performance,
and undue reliance should not be placed on such statements. The
forward-looking statements included in this press release are made only
as of the date hereof, and FleetCor does not undertake, and specifically
disclaims, any obligation to update any such statements or to publicly
announce the results of any revisions to any of such statements to
reflect future events or developments.
FleetCor is a leading global provider of fuel cards and workforce
payment products to businesses. FleetCor’s payment programs enable
businesses to better control employee spending and provide
card-accepting merchants with a high volume customer base that can
increase their sales and customer loyalty. FleetCor serves commercial
accounts in North America, Latin America, Europe, and Australia. For
more information, visit www.fleetcor.com.
About GE Capital
GE Capital Australia and New Zealand is a specialist financial services
provider and part of the global GE Capital business, which operates in
55 countries around the world. With 4,600 employees and $16 billion in
assets locally, GE Capital offers unique financial solutions such as
fleet and equipment finance, personal loans, retailer solutions and
credit cards, corporate finance, inventory finance and insurance
services. For more information, visit www.gecapital.com.au.
About Custom Fleet
Custom Fleet is part of GE Capital, one of the world’s leading
automotive financial services and fleet management companies. Globally
GE Capital supports a fleet in excess of 1.5 million vehicles, in 22
countries. In Australia and New Zealand, Custom Fleet offers expertise
in fleet management and leasing across both passenger and commercial
vehicles for large and small fleets. Custom Fleet is a significant
distributor of the Fleet Card product. For more information, visit www.customfleet.com.au.
Source: FleetCor Technologies, Inc.
FleetCor Technologies, Inc.
+1 770 729 2017
Capital Australia and New Zealand
+61 (0) 3 9921
+61 (0) 404 099 246