PowerBand Solutions Inc. (TSXV:PBX) (OTCQB:PWWBF) (Frankfurt:1ZVA) has reached an agreement with RouteOne LLC.
PowerBand Solutions Inc. (TSXV:PBX) (OTCQB:PWWBF) (Frankfurt:1ZVA) (“PowerBand”, “PBX” or the “Company”) has reached an agreement with RouteOne LLC (“RouteOne”) in which thousands of automotive dealerships in the United States and Canada will have access to PowerBand’s cloud-based sales and leasing platform, allowing consumers and dealers to easily approve the trading and leasing of vehicles.
PowerBand is pleased to announce its agreement with RouteOne, formed by way of a joint venture between Ally Financial, Ford Motor Credit Company, TD Auto Finance, and Toyota Financial Services. RouteOne maintains a footprint of over 18,000 automotive dealers and 1,500 finance sources. RouteOne provides a comprehensive suite of finance and insurance tools, ranging from credit applications and eContracting to digital retail and compliance.
The agreement means thousands of dealers will have access to PowerBand and MUSA through RouteOne’s platform, creating efficiency for PowerBand and RouteOne’s mutual dealer customers.
PowerBand acquired a majority share of MUSA Auto Finance, LLC (“MUSA”) in July 2019. Founded in 2016, MUSA’s innovative transaction platform is modernizing the new and pre-owned vehicle leasing experience, providing dealers and consumers with the most advanced leasing options in the industry. MUSA’s technology takes a credit application, calculates a lease, auto-decisions the application, provides an approval back to dealer partners, and prefills a lease contract accurately. Approvals can occur in less than eight seconds. As a result of its proprietary technology, MUSA was awarded a contract by Tesla Motors to become a national leasing partner in 2018.
“Powerband is now well positioned to be a leader in the vehicle-leasing market in the U.S. and Canada,” said Kelly Jennings, President and CEO of PowerBand. “This is a major milestone in our goal to revolutionize how the world buys, sells, leases, and auctions cars, to make acquiring a vehicle as easy as buying a product on Amazon, in effect uberizing the process.”
“We are very pleased to have MUSA and PowerBand integrate to RouteOne to create value for our shared dealer customers,” said Jeff Belanger, Senior Vice President, Business Development, RouteOne.
PowerBand anticipates the agreement with RouteOne will help PowerBand facilitate thousands of financing transactions on its leasing platform, and subsequently thousands of auction transactions, as a result of trade-ins, on PowerBand’s Canadian online remarketing platform, and on the D2D Automotive Auctions (“D2D”) online auction platform in the United States. D2D is a joint venture partnership owned equally by PowerBand and Bryan Hunt, director of the Fortune 500 company JB Hunt Transport.
Added Jennings: “Our agreement with RouteOne means many thousands of dealers and car consumers across the U.S. and Canada will have PowerBand at their fingertips – revolutionizing how we buy, sell, and trade vehicles by removing unnecessary middlemen and delays. Not only will PowerBand generate revenue from new and used vehicle leases, there will also be revenue generated through PowerBand’s online auction platforms as a result of consumers trading in their vehicles for new leased vehicles.”
RouteOne was formed in 2002 by Ally Financial, Ford Motor Credit Company, TD Auto Finance, and Toyota Financial Services to improve the F&I process for automobile dealers and their customers. Connecting thousands of dealers and finance sources in North America for vehicle financing, RouteOne’s platform delivers a comprehensive suite of F&I solutions across multiple channels: in-store, online, mobile, and via third-party solutions. Its product line-up includes digital retail, credit application, eContracting, menu, and compliance solutions. In addition, RouteOne enables dealer choice across a wide variety of best-in-class providers through open integrations with over 200 DSPs. More information is available at www.routeone.com.
About PowerBand Solutions Inc.
PowerBand Solutions Inc. is a technology provider listed on the TSX Venture Exchange. The Company’s cloud-based platform is revolutionizing how we buy, sell, lease, and auction vehicles. With the recent receipt of its exporter license and its acquisition of MUSA Auto Finance, the Company is now well positioned to become a leader in the USD$10 billion cross-border used vehicle export market, the USD$100 billion used vehicle auction market, and the USD$120 billion vehicle leasing market in the U.S. and Canada.
For further information, please contact:
Richard Goldman, VP Corporate Development
This news release contains forward-looking statements relating to the Company and other statements that are not historical facts. Forward-looking statements are often identified by terms such as “will”, “may”, “should”, “anticipate”, “expects” and similar expressions. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding future plans and objectives of the Company, are forward looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
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