Finance deal and rebrand at Zenith Provecta
CAR fleet funding and management firm Zenith Provecta has completed a deal with HSBC Corporate Banking that the Yorkshire business believes will enable it to capitalise more quickly on growth opportunities.
The securitisation deal will provide the Leeds-based business with a diversified income stream via the capital markets.
Meanwhile, Zenith Provecta is rebranding, with the decision being made to market the firm under a single Zenith brand coming three years after the acquisition of Provecta Car Plan and a year after Morgan Stanley Private Equity took a 60% stake in the business.
Launched in 1989, Leeds-based Zenith operates more than 32,000 passenger and light commercial vehicles.
Martin Lunt, HSBC’s head of corporate banking in Yorkshire, said: “Zenith’s growth has been delivered by staying at the forefront of the latest fleet thinking, developing new ideas, services and delivering quickly to the market.
“It is now a leader in its field both in terms of its products and services, but also, as we see today, in its strategic approach to financial management, adopting innovative solutions which are not necessarily front of finance directors’ minds.
“Our teams in Leeds and London were able to structure a transaction which provides low risk liquidity to facilitate investment across its business streams.”
Zenith’s chairman, Andrew Cope, said: “We have continued to invest heavily in our service delivery infrastructure and have a compelling proposition for UK corporates. The quality of our customer base is second to none and allows us to develop differentiated funding structures for our clients.
“The size of the new funding facility is substantial and highly scaleable and will be sufficient to fund all of our anticipated growth plans.”
Victoria Lindsell in HSBC’s London-based asset backed finance team structured the securitisation. HSBC’s Leeds-based global relationship Manager Peter Helliwell, who has worked with the business for four years, will continue to manage the company’s banking needs.
Wragge & Co advised HSBC.
Commenting on the rebrand, Zenith’s chief executive Tim Buchan said: “This is the next natural step in the company’s development. We are in an exciting time in our company’s progression and we felt that the time was right to move forward with the Zenith brand.”
