European leaders in financing professional equipment and IT life cycle management join forces to offer circular, product-as-a-service solutions.
Back in 2015, Trucost research found a $10 billion business case for advancing circular best practices throughout the electronics sector. Now, BNP Paribas Leasing Solutions, a European leader in financing professional equipment, and technology life cycle management specialist 3 Step IT are taking that idea forward — the companies have formed a European strategic alliance that will provide complete, sustainable technology lifecycle-management solutions internationally. The service offering aims to meet organisations’ demands for more flexible and circular, product-as-a-service solutions.
The alliance will be effective in the 20* European countries where each of the partners operates, as part of a partnership developed under the name BNP Paribas 3 Step IT. Within the partnership, a joint venture operation will trade in 11 countries, starting in France, Italy, Germany, Belgium, the Netherlands and the United Kingdom; in 2020, the new company plans to extend its services to Poland, Spain, Portugal, Austria and Switzerland.
BNP Paribas Leasing Solutions has been active for more than 20 years in the rental and lifecycle management market. To date, its technology equipment services have been available in France and Italy — the new partnership with 3 Step IT will enable it to expand this business internationally and to strengthen its re-marketing capabilities at the end of the contract.
"With this announcement, BNP Paribas Leasing Solutions complements both its European network, particularly in the Nordic and Baltic countries, and accelerates its commitment to the circular economy," said Charlotte Dennery, CEO of BNP Paribas Leasing Solutions. “3 Step IT is the ideal partner to develop an offer that promotes the recycling and resale of technology equipment made available to our customers and partners. This transaction aligns perfectly with the BNP Paribas group's strategy and its 2020 commitment plan, which includes the circular economy.”
Helsinki-based 3 Step IT offers services that include funding the acquisition and management of technology (usually IT devices), and then the refurbishing and re-marketing of them. This partnership will enable 3 Step IT to expand into other countries, notably in Western Europe, where BNP Paribas Leasing Solutions is present.
“The 3 Step IT team is very excited to partner with Europe’s leading professional equipment finance company,” says Carmen Ene, CEO of 3 Step IT. “Our company was built around sustainability; now, together with BNP Paribas Leasing Solutions, we can make the circular economy a reality and develop more sustainable leasing for technology assets across Europe.”
The alliance between BNP Paribas Leasing Solutions and 3 Step IT confirms the ambition of both organizations to become leaders in the field of finance and product-as-a-service solutions for technology equipment in Europe. They also plan to take a lead in promoting the circular economy with services that help maintain equipment in use, and recondition returned equipment for resale to extend its life.
The partners will combine their expertise to provide organizations with a complete management service for their technology equipment, which will also be available to manufacturers and distributors to meet their customers’ needs and expectations.
Beyond the joint venture territory the BNP Paribas 3 Step IT will provide similar services to its international clients through a commercial partnership, mainly in the Nordic and Baltic countries. 3 Step IT operations in Asia are not included in the partnership and will continue to run as they do today.
This Alliance will be finalised by the end of the first half of 2019, subject to the agreement of the various regulatory authorities.
*European countries covered by the Alliance: Joint-venture — Austria, Belgium, France, Germany, Italy, Poland, Portugal, Spain, Switzerland, the Netherlands and the United Kingdom. Partnership beyond the JV — Denmark, Estonia, Finland, Latvia, Lithuania, Luxembourg, Norway, Romania, Sweden.