OEConnection (OEC) has signed a definitive agreement to acquire UK-based fleet software platform Epyx, along with its sister companies R2C Online and Business Gateway, from corporate payments giant Corpay Inc.

The strategic acquisition is designed to deliver greater customer value across Europe’s fleet SMR markets

Backed by private equity firm Francisco Partners, OEC aims to expand its European digital footprint by integrating the platforms’ networks of fleet operators, leasing firms and garage repair ecosystems.

Expected to complete this autumn, the strategic acquisition is designed to deliver greater customer value across Europe’s fleet servicing, maintenance and repair (SMR) markets. OEC’s majority investor, Francisco Partners, will continue to provide support and sector expertise in the combined business.

Formed in 2000, Epyx is a leading fleet software platform that connects fleet operators, leasing companies, service providers and vehicle manufacturers through a digital network that streamlines vehicle service, maintenance, repair authorisation and fleet management workflows across the UK and Europe.

The transaction aligns with OEC’s long-term goal to deliver an end-to-end digital network for the global vehicle aftersales industry. The acquisition marks OEC’s most significant expansion into the European market, uniting the company’s OEM parts infrastructure with Epyx’s vehicle service and e-procurement platforms.

Patrick Brown, CEO at OEConnection, said: “Epyx has built deep, long-standing relationships across the fleet and garage network ecosystem in the UK and Europe, and their platforms are purpose-built for the fleet market they serve.

“Bringing our organisations together reflects a shared commitment to the fleet and aftersales industry, and to the technology that keeps vehicles on the road.

“We look forward to working toward close and, in time, to welcoming their teams, customers and partners into OEConnection.”

Aditya Varadpande, managing director of Epyx, R2C Online and Business Gateway, added: “Over more than two decades, we have built technologies, partnerships and a set of relationships that fleets and repair stakeholders across the UK and Europe rely on every day.

“Joining OEConnection reflects a strong strategic fit between organisations that share a deep commitment to the fleet and aftersales industry.

“We look forward to the road ahead as we work toward completing the transaction.”

The divestiture allows Corpay to streamline its corporate footprint. By offloading its non-core vehicle technology units, Corpay plans to sharpen its focus and capital allocation toward accelerating growth within its core B2B corporate payments business.

Ron Clarke, chairman and CEO of Corpay, said: “We’re pleased to have reached agreement to sell our Epyx business to OEC and Francisco Partners, and believe the business is well positioned for continued success under its new ownership.

“This transaction represents another important step in simplifying our portfolio and continuing our rotation towards Corporate Payments businesses.”

OEConnection is a global automotive technology company that provides software-as-a-service (SaaS) solutions for the automotive aftersales and replacement parts industry. The business was formed in 2000 as a joint venture by major automotive players, including Ford, General Motors, Chrysler and Bell & Howell (now Snap-on Business Solutions). Its first solution, dubbed CollisionLink, launched in 2001, establishing the industry’s first major parts e-commerce engine.

Following close of the transaction, Epyx, R2C Online and Business Gateway customers and partners can expect continuity of service, with existing contacts, agreements and services remaining in place. Further details will be communicated to customers and partners as the transaction progresses toward close.

Completion of the transaction is subject to customary regulatory approvals and standard closing conditions.

Barclays and JP Morgan acted as financial advisors to Corpay, and Jones Day acted as legal counsel to Corpay. DC Advisory acted as financial advisor to OEC and Francisco Partners, and Goodwin Procter LLP acted as legal counsel to OEC and Francisco Partners.