Element to acquire Car IQ, creating the fleet industry's first scaled platform for intelligent, vehicle-initiated payments

Executive Summary

• Element Fleet Management Corp. (TSX: EFN) entered into a definitive agreement to acquire Car IQ, a San Francisco‑based connected‑vehicle payments technology company.
• The acquisition will embed vehicle‑initiated payment capabilities into Element’s fleet‑management platform, creating the first end‑to‑end digital payments solution for North American fleets.
• Closing is expected in December 2025, subject to customary conditions; Car IQ will operate as a subsidiary of Element Mobility.

Key Details

• Transaction Structure: Definitive agreement for Element to acquire 100% of Car IQ’s equity; Car IQ to become a wholly‑owned subsidiary of Element Mobility.
• Closing Timeline: Anticipated closing in December 2025, subject to customary regulatory and shareholder approvals.
• Strategic Rationale: Adds vehicle‑initiated payments technology to Element’s connected‑fleet ecosystem, enhancing fraud controls, real‑time spend visibility, and operational efficiency for fleet clients across the U.S. and Canada.
• Technology Integration: Car IQ’s “Know Your Machine™” platform enables autonomous authentication and completion of merchant transactions without cards or PINs; will be integrated with Element’s Autofleet/Element Mobility suite.
• Financial Impact (forward‑looking): Expected to accelerate revenue growth from digital payments services; specific financial terms not disclosed.
• Leadership Statements:
• Kobi Eisenberg, President, Element Mobility & Autofleet – highlighted digital payments as a core pillar of the company’s strategy and its role in delivering seamless client experiences.
• Sterling Pratz, Founder & CEO, Car IQ – noted that joining Element will broaden payment capabilities for fleets and drive data‑driven value.

Notable Quotes

• “Digital payments is an important pillar of our Element Mobility strategy… enabling clients to operate more efficiently, streamline transactions, and unlock new opportunities across their mobility lifecycle.” – Kobi Eisenberg
• “By joining Element, we can accelerate adoption and deliver a broader suite of payment capabilities to more fleets… unlocking new data‑driven value for clients.” – Sterling Pratz