Europe's leading car rental company, Europcar, has signed a master franchise contract with a management-led consortium, which has purchased the Europcar franchise in Australia and secured the Asia-Pacific franchise rights.

The master franchise is the largest of its kind ever granted by Europcar International, the holding company: in combination with the acquisition, it creates a regional business with 800 employees, 13,000 vehicles and in excess of A$150 million in system revenues.

The newly combined group is to be named Europcar Asia Pacific. The transaction was announced in Melbourne and includes the acquisition of existing Europcar franchises in nine countries, including Australia, Indonesia, Malaysia, New Zealand, Pakistan, Sri Lanka and Singapore.

It also includes master franchise rights for over 20 as yet unpenetrated countries including, among others, India, the Philippines, South Korea, Taiwan, Thailand and Vietnam. Europcar operations will be established in those countries over a period of three to five years.

The master franchise allows Europcar Asia Pacific to either sub-franchise or directly operate the businesses throughout the region.

The consortium also has an option for China, Hong Kong and Macau and will be working with Volkswagen and Accor, the global hotels group, to develop an entry strategy leveraging their strong existing businesses.

Rainer Vogt, senior vice-President of Europcar International's franchise network, said the Asia market was relatively empty of sophisticated car rental companies. "We are very excited about teaming up with our new partners to continue to build on our strong existing business in the region.

There is a very promising growth outlook for corporate and leisure business in the Asia region, compared to Europe, and we expect to have a two-figure market share in Asia within three years."

He added that according to its international development strategy, Europcar had grown from a European business to a global business with European heritage.