Four years ago, Car IQ raised $15 million in Series B funding to further develop a payment solution specifically for fleet vehicles to make tracking easier for fleet managers and spending simpler for drivers when they’re behind the wheel.

On Tuesday, Car IQ moved toward gaining new ownership, as Element Fleet Management Corp. announced a definitive agreement to acquire the San Francisco–based technology company.

The transaction is subject to customary closing conditions and is expected to close in December.

“Car IQ was built to enable vehicles to seamlessly interact with the physical world,” Car IQ founder and CEO Sterling Pratz said in a news release. “By joining Element, we can accelerate adoption and deliver a broader suite of payment capabilities to more fleets.

“Together, we will modernize how vehicles pay for everyday services and unlock new data-driven value for clients,” Pratz continued.

For Element, it’s on track to make its second acquisition of the year. In August, the company entered into a definitive agreement to acquire Autofleet in a move meant to position Autofleet in a place to leverage Element’s global resources while continuing to spearhead innovation within the mobility industry.

Element highlighted the move involving Car IQ brings to market the first vehicle-initiated payments technology embedded directly into a full-suite fleet management ecosystem.

Management said the pending acquisition also enables Element to offer clients access to its full suite of connected mobility, data, and fleet management solutions, integrated with digital payments capabilities.

According to the news release, Car IQ will operate as a subsidiary of Element Mobility and immediately expand Element’s digital payments roadmap across the United States and Canada.

Car IQ’s technology can enable vehicles to autonomously initiate, authenticate, and complete transactions with merchants, eliminating physical cards, PINs, and manual reconciliation. Just before Halloween, Car IQ announced that Car IQ Pay is now accepted at more than 1,400 EG America fueling locations nationwide, including Cumberland Farms and nine other convenience store brands.

Kobi Eisenberg, president of Element Mobility and Autofleet, explained integrating this capability into Element’s platform will provide clients with stronger controls, reduced fraud exposure, real-time spend visibility, and materially simplified operations.

“Digital payments is an important pillar of our Element Mobility strategy,” Eisenberg said in the news release. “It enhances our connected ecosystem and positions us to deliver a seamless, digital payments experience, enabling clients to operate more efficiently, streamline transactions, and unlock new opportunities across their mobility lifecycle.”

Together, Element and Car IQ said they will combine their complementary strengths: Element’s scale, distribution, and client relationships with Car IQ’s vehicle identity and payments innovation.

“This creates an end-to-end platform that redefines how fleets connect, transact, and move in an increasingly digital and autonomous world,” executives said.

“Car IQ will continue innovating within Element Mobility, advancing the next generation of intelligent payments and connected-vehicle data solutions that simplify fleet operations and drive long-term value,” executives went on to say.