This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies.

Europcar Mobility Group acquires Fox Rent A Car,
 to accelerate its growth momentum
 by a direct presence in the US, biggest worldwide market

In line with SHIFT 2023, Europcar Mobility Group, the leader of car rental in Europe with a 27% market share, announces today that it has acquired Fox Rent A Car and holds a 100% stake in one of the largest independent players of the US car rental market.

This strategic acquisition, which will be the last of the Group’s transformational M&A program begun 3 years ago, marks a key milestone in the roll out of SHIFT 2023, its strategic roadmap to reach €4Bn revenues and a 15m active customer base by 2023.



The integration and synergies processes begin as of today, with the objective to make Fox Rent A Car the platform for Europcar Mobility Group’s future developments in the USA, the world’s biggest car rental and mobility market.



This will greatly strengthen the Group’s ability to serve its customer base on a global scale, thanks to the strong ground presence of Fox Rent A Car in 15 of the 25 key US airports, notably making Europcar Mobility Group’s portfolio of services to B2B international key accounts even more competitive.



This acquisition also represents a significant revenue growth opportunity for Europcar Mobility Group, considering:
• On one hand, that travellers coming from the rest of the world account for $2.5bn of the US Car rental market, by far the biggest destination for car rental customers worldwide,
• and, on the other hand, that US residents travelling to our European markets represent a $1bn opportunity, confirming this is the most important source of business for car rental companies worldwide.


These two fronts are equally important for the development of Europcar Mobility Group’s B2B and leisure businesses, given their strong upside potential for its international rental brands: Europcar, InterRent and Goldcar, everywhere the Group operates, be it directly or via its franchisees and Chinese, Indian, Japanese and Canadian partners.



Fox Rent A Car operates a network of 21 corporate stations and 100+ affiliates, with an attractive value for money price positioning, and impressive track record of organic growth (delivering an average 6.4% revenue growth p.a. between 2013 and 2018) and a fleet of approximately 18,000 vehicles. In 2018, Fox Rent A Car generated around $280m revenue.



Europcar Mobility Group expects the transaction to be neutral to its earnings per share in 2020 and to become fully accretive from 2021 onwards.



The transaction was financed using cash and owned shares on balance sheet, and the full impact of the transaction on the group corporate net leverage will be below 0,3x at the end of 2019.



For Caroline Parot, Chief Executive Officer of Europcar Mobility Group:

“The acquisition of Fox Rent A Car, one of the largest independent players in the US car rental market, is the last key step in our transformational M&A program, which enabled us to become a truly global mobility service company.



As the leader of car rental in Europe with a 27% market share and a major player in the fast-evolving mobility ecosystem, in line with our SHIFT 2023 ambition, Fox Rent A Car’s integration will be the platform for our future developments in the USA, giving us access to the largest car rental and mobility services market in the world, as well as the opportunity to serve our leisure and corporate customers globally, everywhere we operate, be it directly or via our franchisees & Chinese, Indian, Japanese and Canadian partners.



This will greatly strengthen our ability to serve our customer base on a global scale, thanks the strong ground presence of Fox Rent A Car in 15 of the 25 key US airports, notably making our portfolio of services to B2B international key accounts even more competitive.”



For Mike Jaberi and Allen Rezapour, co-Managing Directors of Fox Rent A Car:

“The Fox Rent A Car management team is very happy to join the Europcar Mobility Group family and excited by the growth opportunities it is going to create.

We look forward to beginning to work closely with our new European colleagues over the coming months, with the objective of progressively implementing fruitful inbound & outbound business synergies with Europcar Mobility Group's powerful brands.

We are confident that we have very promising perspectives ahead of us.”

Submit to DiggSubmit to FacebookSubmit to Google PlusSubmit to StumbleuponSubmit to TwitterSubmit to LinkedIn