Collaborate negotiates important agreement with ORIX Australia
Published on: | by Trevor Hoey
Collaborate Corporation’s (ASX:CL8) DriveMyCar business has signed a strategic agreement with ORIX Australia Corporation Limited (ORIX) for ORIX vehicles to be rented through the DriveMyCar platform to private and corporate rental customers.
Established in 1986, the ORIX Group is the largest fleet management group in the Asia Pacific with over 1,100 offices and 800,000 assets valued at circa $1 billion under lease and management throughout the region.
ORIX Australia is part of the global ORIX Group specialising in the acquisition, financing and management of both motor and commercial vehicles.
DriveMyCar to manage marketing, rental bookings, payments and verification checks
The first vehicles will be made available in Sydney in March 2017, with launches in Melbourne and Brisbane to follow shortly thereafter. Under the agreement, DriveMyCar will manage marketing of the vehicles, rental bookings, payments and verification checks while ORIX will hand over the vehicles from their comprehensive network of offices around Australia.
With locations in key business centres in Macquarie Park in Sydney and Eagle Farm in Brisbane, the ORIX vehicles are expected to appeal to corporate customers seeking convenient access to reasonably priced quality rental vehicles.
DriveMyCar will specifically target corporate customers with a localised marketing campaign for the ORIX vehicles. ORIX will use the DriveMyCar inspection app to streamline vehicle handovers providing time savings for customers, DriveMyCar and ORIX.
What this will mean financially for CL8 remains to be seen, so investors should seek professional financial advice for further information if considering this stock for their portfolio.
Chris Noone, Collaborate Corporation CEO said “We are delighted to welcome ORIX as one of our key supply partners and are excited about the opportunity to target the corporate market with the range, quality and locations that match their needs”.
Reggie Cabal, CEO and Managing Director of ORIX commented “Working with one of Australia’s leading peer-to-peer rental businesses is a unique opportunity for us to transform the utilisation of our vehicles, and provide our superior range of fleet vehicles for private and corporate rental”.