Custom Fleet a wholly-owned subsidiary of Element Financial Corp to drive down costs for Western Power

Announcement posted by Custom Fleet 06 Jun 2016

Custom Fleet, a wholly-owned subsidiary of Element Financial Corp, today announces a landmark win as it has been selected as the successful leasing partner for Western Australian electricity network business Western Power.

Western Power, a Western Australia (WA) State Government Trading Enterprise, which builds, maintains and operates the electricity network throughout southern WA, has agreed to outsource their fleet leasing & management of their (mainly owned) vehicle fleet of light commercial and passenger vehicles.

An acquisition of a 900+ vehicle fleet deal and an immediate $30M sale and lease back (SALB) to be executed in August 2016 is one of the biggest wins in the history of Custom Fleet and is a huge step in delivering on their organic growth strategy.

The new model will see the establishment of a sole supplier agreement for the funding and fleet management of Western Power’s light vehicle fleet by Custom Fleet.

The solution will encompass the SALB, Managed Operating Leases, Fleet Managed services, Telematics and Pool Car with further product advancement to follow. It was the depth and expertise within these areas and technological advancements that Custom Fleet could bring to the table as a true market leader that led us securing this opportunity.

Given the size of the opportunity, the market interest was immense and hard fought with a lengthy contract negotiation. The team did a great job maintaining the intensity over a lengthy process, and secured the deal with a market leading offer encompassing deep fleet management expertise, innovative products, and best in class strategic consultancy.

Aaron Baxter, CEO of Custom Fleet, said the team had worked closely with Western Power and were excited about establishing a longer term relationship. “Our deep expertise in strategic consulting, our market leading product suite, and our proven history of execution is what got us over the line. This is a historic win for Custom Fleet under the Element Financial ownership.

Custom Fleet are proud to be part of this trend in governments outsourcing the management of their fleet to free up capital and invest in front line resources and infrastructure.

Western Power’s Executive Manager Corporate Services Simon Walsh said the partnership with Custom Fleet would enable the company to more efficiently provide transport solutions for employees.

“Western Power owns and operates a vast electricity network that is spread across 255,064 square kilometres, with employees based at more than 20 depots in southern Western Australia,” Mr Walsh said.

“Western Power is focused on continuous improvement as customer needs and economic conditions change, and this partnership will assist us in reducing costs while providing efficient transport solutions for our employees.”

- Ends -

MEDIA ENQUIRIES

Chris Tulloch

Product, Marketing & Strategy Director

Custom Fleet

0466 523 245

ctulloch@customfleet.com.au