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International Internet Magazine. Baltic States news & analytics Monday, 17.06.2024, 08:27

Estonia: Inbank acquires 53% stake in full-service vehicle rental company Mobire

BC, Tallinn, 15.12.2020.Print version
Inbank on Monday signed an agreement to acquire 53% of the full-service vehicle rental company Mobire Group OU; parties have agreed not to disclose the price of the transaction, writes LETA/BNS.

The purpose of the transaction is to strengthen Inbank's position in the car financing market and enter into an innovative subscription-based business model, Inbank told the stock exchange.

The acquisition of a stake in the Mobire Group will not have a significant impact on the economic activities of Inbank. Following the transaction, Mobire will continue to operate under its current name.

According to Priit Poldoja, chairman of the supervisory board of Inbank, the world is clearly moving towards a subscription-based business model. "As the subscription-based business can be successfully scaled, we see great growth potential in the full-service vehicle rental business," Poldoja said. According to him, Mobire has done a good job in introducing the new product category in Estonia, but Poldoja sees a common growth opportunity primarily in the Latvian and Lithuanian markets. "Mobire is a good fit for Inbank's portfolio since we are well acquainted with the field of car financing and the Baltic market in general," Poldoja added.

Inbank is a consumer finance focused digital bank active in the Baltics and Poland with additional deposits accepted in Germany, Austria and the Netherlands. Inbank has over 3,200 active partners and 600,000 active contracts. Inbank bonds are listed on the Nasdaq Baltic stock exchange.

Mobire Group with a fleet of more than 2,300 vehicles offers full-service vehicle rentals to private and business customers through its Estonian, Latvian and Lithuanian subsidiaries. The company's consolidated turnover in 2019 was 15.3 mln euros.

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