Renet Japan Group Inc, a publicly listed Japanese company that specialises in the recycling and reuse of consumer products, will establish a joint venture with a Japanese financial services firm to launch a new leasing company in Cambodia, it said in a filing yesterday to the Tokyo Stock Exchange.

The joint venture partnership with SBI Holdings Inc will establish Mobility Finance Cambodia Plc with $500,000 capital, according to the filing. SBI Holdings will take a 49 percent stake in the new company.

Eiichiro So, chairman of SBI Royal Securities, a local subsidiary of SBI Holdings, said he would be responsible for establishing the leasing company and that it would apply for a licence from the National Bank of Cambodia soon.

He added that while the company would initially focus on the growing taxi market, the firm planned to branch out into other markets using fintech solutions.

“Utilising the Internet of Things like GPS and a remote start device we can monitor the activities of clients efficiently and with lower costs to expand the leasing services to the automobile, motorbike, agricultural machinery and equipment sectors,” he said yesterday.

Fintech solutions, So explained, would take out the human resource element that bogs down leasing firms that have to physically check on clients who are not making repayments.

“Utilising fintech solutions, we can create a low-cost operator that provides lower fees and interest rates to our customers,” he said.