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COG Financial Services boosts growth with Easy Fleet acquisition
COG Financial Services strengthens its market position by acquiring Easy Fleet for $40 million, expanding its influence across Australian states and territories through its subsidiary, Paywise.
(AI video summary)
This video was created on 3 September 2025 for IG audiences by ausbiz.
ASX code: COG
Easy Fleet acquisition
COG Financial Services will acquire Easy Fleet for $40 million via its salary packaging subsidiary, Paywise. This acquisition will enhance COG's footprint across Australian states and territories. The deal will be funded with $37 million in cash and the remainder in debt.
Chief Executive Andrew Bennett notes that this enables Paywise to hold contracts with governments in Western Australia, Tasmania, Queensland, the Northern Territory, and various cities. The transaction is expected to complete by 20 September.
Investment outlook
Analysts highlight the rise in COG's stock since April, driven by shifts in the electric vehicle market and changes in fringe benefits tax (FBT) for hybrids. Growth potential exists, particularly with Chinese manufacturers entering the market. COG's asset financing strategy and acquisitions are viewed favourably, leading analysts to rate it a 'buy'.
However, analysts caution about the cyclical nature of asset financing. While COG benefits from current economic conditions and Reserve Bank of Australia (RBA) interest rate cuts, cyclical risks remain.
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