(13 October 2026 – Australia) Final offers were made last week for one of Australia’s largest car leasing providers by Orix, Sumitomo, Element Fleet Management Corporation and Pacific Equity Partners (PEP).
PEP has emerged as the winner in the hotly contested auction for vehicle fleet business FleetPartners valued at a headline value of A$800 million to A$1 billion.
Sarah Thompson reports for the AFR that all three parties remained in the data room and pitched binding proposals by Friday for FleetPartners. The government’s fringe benefits tax exemption enabling employees to pay for an electric vehicle (EV) and running costs out of pre-tax income when financed through employment has been a key driver of growth for fleet management enterprises such as FleetPartners and SG Fleet who was taken over by PEP in 2025.
PEP and SG Fleet will be drawing on debt to finance, indicating confidence in the business’s cash flow and growth. The group’s FY25 annual report showed more than 80,000 vehicles under management across Australia and New Zealand, with A$2.3 billion in AUM or financed and A$778 million in new business writings.
Uptake of EVs hit a new monthly record in Q2 2026, making up 23.3 percent of total car sales as a result of the Middle East conflict pushing petrol and diesel prices higher. EVs and hybrids accounted for nearly one in two cars sold in Q2 2026 according to the Australian Automobile Association.
“FleetPartners represents a rare opportunity to add meaningful capability in a market we know exceptionally well. We have operated in Australia and New Zealand for decades and have deep knowledge of the market, its clients, and operating environment. We believe a combination with FleetPartners has compelling strategic and financial logic and would strengthen our ability to serve clients and enhance our value proposition across the region” commented Element CEO Laura Dottori-Attanasio.