EML (ASX: EML) is pleased to announce that it has signed a 5 year contract to launch two new products with Italian B2B prepaid fuel products provider, TBS Europe SRL.
TBS Europe SRL currently provides the Italian market with paper fuel vouchers that are redeemable at a specific brand of fuel station across Italy. In 2015 this voucher program totalled €36m in loads. This product is sold at a B2B level to corporate organisations in Italy who provide it to their employees for ad-hoc business travel and as employee rewards and incentives.
EML is replacing this voucher product with a MasterCard™ branded single load gift card, which can be used at participating fuel stations in Italy. It is expected that this conversion process will be completed by the end of FY17 and the program will become a financial contributor to EML in FY18 and beyond.
EML is also launching a reloadable MasterCard™ Chip and Pin card, also restricted for use at participating fuel stations within Europe. This product will be targeted at a B2B market, which TBS Europe SRL previously provided a major fuel retailers’ credit card to and the product is targeted at the employees of corporate organisations with more consistent travel requirements.
The cards will be issued by Transact Payments Limited (a subsidiary of The Bancorp) and distributed to clients of TBS Europe SRL in Italy.
Managing Director of EML, Tom Cregan, said:
“We are delighted to be launching these new products with TBS Europe SRL, which is part of our continued growth of the EML prepaid business in Europe, as well as an expansion into a new market segment.
This will be the launch of our first reloadable product within Europe and we expect the two products to perform extremely well.
The market already exists for fuel programs and TBS Europe SRL has identified a gap in the market for these new products. As a consequence, we expect sales to perform well, with the single load gift card meeting the sales level of the previous product by the end of FY17 following a period of conversion.”
ABOUT TBS EUROPE SRL
Operating since 2014 and with an established client base, TBS Europe SRL is a distributor of corporate prepaid fuel products to the B2B market within Italy. For more information please visit: www.tbs-europe.com/