IDB Invest finances Mareauto to boost vehicle rentals in Peru
IDB Invest, a member of the IDB Group, provided a $10 million loan to Mareauto Peru to partially finance the growth and renewal of its vehicle fleet rentals in the country.
The project will facilitate the increase in funding available for micro, small and medium enterprises (MSME) in Peru, providing an innovative financial solution for the purchase of vehicle fleets. In addition to being new vehicles, they emit less emissions and are more efficient, contributing to the reduction of CO2 emissions. Additionally, the short-term renting of vehicles for tourists generates additional dividends for the country.
This deal will help increase opportunities for renting for Peruvian MIPYME, who have limited access to financing, especially for high-cost equipment, such as vehicles. Renting allows for cash flow better management and access to benefits such as security, cost savings and greater availability of vehicles. These benefits are offered under the Movilidad Inteligente program developed by the company.
Through this system, the equipment never converts itself into an asset subject to depreciation and taxation costs. This generates greater flexibility, as the company will not be constrained by the property of an asset with limited needs.
The operation potentially contributes to the United Nations Sustainable Development Goals: Decent Work and Economic Growth (SDG 8), and Industry, Innovation and Infrastructure (SDG 9).
About IDB Invest
IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social and environmental development in the region. With a portfolio of $12.1 billion in asset management and 333 clients in 24 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
With a fleet of approximately 7,000 vehicles, Mareauto serves the car rental market in Colombia, Ecuador and Peru. The company belongs to the Ecuadorian business conglomerate Maresa and the Kandeo private equity fund. In addition, it operates the AVIS brand for the region. Mareauto Perú S.A. has consolidated itself as one of the main players in the Peruvian car rental market for short and wide plains. Currently Mareauto Perú S.A. has a 1,700-vehicle fleet, allocating 90 percent to the renting business and 10 percent to the busines of Renta Car. Recently, Mareauto Perú S.A. has stood out for its growth that far surpasses the growth of the market and its competence, positioning itself as one of the main players in the market thanks to an innovative and aggressive strategy.