LeasePlan acquired by a Consortium

23 July 2015

LeasePlan Corporation N.V., a global leader in fleet management and driver mobility, today announces that it has been informed by its current 100% shareholder Global Mobility Holding B.V. (a joint venture of Volkswagen Aktiengesellschaft and Fleet Investments B.V.) that it has reached an agreement with a consortium of long-term investors (“the Consortium”) to acquire full ownership of LeasePlan.

The total value of the transaction amounts to about EUR 3.7 billion. The Consortium plans to maintain LeasePlan’s diversified funding strategy going forward, supported by its investment grade rating.

The agreement is subject to approval by the relevant regulatory and anti-trust authorities including the European Central Bank in consultation with the Dutch Central Bank. Closing is expected by the end of 2015 and is subject to obtaining these regulatory and anti-trust approvals.

The Consortium is composed of a group of long-term responsible investors and includes leading Dutch pension fund service provider PGGM, Denmark’s largest pension fund ATP, GIC, Luxinva S.A., a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA), the Merchant Banking Division of Goldman Sachs and investment funds managed by TDR Capital LLP. The Consortium supports LeasePlan’s existing long-term strategy and growth ambitions and recognizes the expertise of its workforce as a key asset for successfully executing this strategy. The Consortium brings financial services sector experience, additional strategic experience as well as a strong track record of successful long-term investing. LeasePlan will continue its drive for the delivery of high quality fleet management and driver mobility services for its clients.

Vahid Daemi, CEO and Chairman of the Managing Board of LeasePlan: “Established in 1963, we have grown to become the world’s leading global fleet management and driver mobility company. Today, our global franchise manages some 1.5 million multi-brand vehicles and provides global fleet management and driver mobility services in 32 countries. The change of ownership announced today marks a new era for our company and will enable LeasePlan to continue our successful journey and focus on executing our long-term strategy and growth ambitions. We remain fully committed to providing high quality and innovative fleet management and driver mobility services to our clients worldwide.”

Consortium

The Consortium is a group of long-term investors composed of leading Dutch and Danish pension funds, global investment companies and private equity firms. It is committed to the highest standards of corporate governance and each investor has an extensive experience in financial services and regulated businesses. The Consortium is investing through LP Group B.V., a newly established Dutch company.

Eric-Jan Vink of PGGM, on behalf of the Consortium: “As market leader in the global fleet management business, LeasePlan offers an attractive long-term investment opportunity. We are investing in the future of a company with an unmatched portfolio of market-leading assets, a highly knowledgeable and dedicated employee base and a sound strategy for the future, under highly experienced management. The Consortium looks forward to supporting the management team as they focus on growing the business.”

LeasePlan has been informed that the Consortium intends to finance the acquisition with an equity investment of approximately half of the total purchase price, a mandatory convertible note of EUR 480 million and a cash-pay debt facility of EUR 1,550 million. The debt facility is being provided by an international syndicate of lenders. None of the debt raised by the Investors would be borrowed by LeasePlan and the company would not be responsible for the repayment of such debt.

The Consortium plans to maintain LeasePlan’s diversified funding strategy going forward, supported by its investment grade rating. The Consortium supports LeasePlan’s existing management and strategy. Vahid Daemi will continue to lead the organisation as CEO and Chairman of the Managing Board.

Regulatory approvals and other conditions

As a financial institution with a Dutch banking licence LeasePlan acts under the supervision of the Dutch Central Bank (DNB) and the Netherlands Authority for Financial Markets (AFM). The DNB and the other necessary regulatory bodies have been informed of the anticipated change in ownership. The transaction has to be approved by the relevant regulatory and anti-trust authorities including the European Central Bank in consultation with the Dutch Central Bank. Closing is expected by the end of 2015 and is subject to obtaining all these regulatory and anti-trust approvals.

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