News: ALD Automotive and LeasePlan confirm the successful completion of M&A process
Press Release (ALD Automotive) -- Leading automobile services provider ALD announced last month, following final approval granted by the CMA and European Commission in November 2022, that it had successfully completed the acquisition of 100% of LeasePlan, one of the world's leading fleet management and mobility companies, from a consortium led by TDR Capital, for a total consideration of EUR 4.8 billion*, paid through a combination of cash and ALD shares.
By joining forces, ALD and LeasePlan will lead the way to net zero and further shape the digital transformation of the industry. The combined entity will leverage on scale and complementary capabilities to strengthen its competitiveness and deliver sustained growth, while generating EUR 440m annual run rate synergies. With strong recurring margins and enhanced resilience through the economic cycle, ALD targets to achieve best-in-class efficiency and to provide attractive shareholder returns.
Following today's closing of the acquisition of LeasePlan, which holds a banking license allowing it to raise deposits under the Dutch deposit guarantee scheme, ALD becomes a Financial Holding Company, a regulated institution supervised by the European Central Bank. ALD continues to maintain a robust capital position, which paves the way for potential upgrades of its credit ratings.
In accordance with its commitment, Societe Generale will remain the long-term majority shareholder of ALD, with 52.6% of the capital and a 40-month lock-up period. The former LeasePlan shareholders hold 30.75% of the combined entity's capital and are subject to a 12-month lock-up commitment, while the free float represents 16.6%***.
Starting from 22 May 2023, the results of LeasePlan will be consolidated into the financial statements of ALD.
"Today is a historical day for ALD and LeasePlan and marks the beginning of a new era in mobility. By bringing together our complementary capabilities and expertise, we are well positioned to capture the sector's tremendous growth opportunities. Our focus going forward will be to leverage our unique position to lead the energy transition through innovative solutions, including digital platforms, to encourage large scale adoption of sustainable mobility, whether it be through low emission vehicles or multi-mobility solutions," confirms Tim Albertsen, CEO of ALD. "With a combination of talent at ALD and LeasePlan, our teams are fully committed to creating the leading global sustainable mobility player and delivering value for all of our stakeholders. We are all very excited about starting this new venture together."
* Based on ALD's stock price of EUR 11.31 as at 19 May 2023, including warrants and estimated fair value of contingent consideration
** Excluding entities held for sale
*** Assuming the full exercise of the warrants granted to LeasePlan's selling shareholders, Societe Generale will hold c. 51% of the combined entity's share capital upon closing of the Acquisition and LeasePlan's selling shareholders up to 32.9% of the combined entity's share capital
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About ALD Automotive | LeasePlan
ALD Automotive | LeasePlan is a leading global sustainable mobility player providing full-service leasing, flexible subscription services, fleet management services and multi-mobility solutions to a client base of large corporates, SMEs, professionals and private individuals. With the broadest coverage in 44 countries through direct presence, ALD Automotive | LeasePlan is leveraging its unique position to lead the way to net zero and further shape the digital transformation of the industry through innovation and technology-enabled services to enable the transformation towards large scale adoption of sustainable mobility