Carphone Warehouse and Dixons are apparently on the verge of announcing a huge £37 billion merger.
If the deal goes ahead, the two high-street technology chains would be one of the largest groups in the UK.
This isn’t surprising, especially as Carphone Warehouse has almost 800 stores to its name and the Dixons group has over 500 stores across the UK.
The two companies are expected to make a formal statement including concrete merger details on May 19, but the merger would see the companies become 50-50 equals in a new electronic goods retailer know as Dixons Carphone Group plc.
Apparently, CArphone Warehouse co-founder Sir Charles Dunstone will become the chairman of the combined group, while Dixons’ execs Sebastian James and Humphrey Singer will take up the Chief Executive and Chief Financial Officer roles respectively.
The deal could result in some non-executive level employees at head office being cut, as both companies will be looking to make some cost savings.
There is only limited overlap between the two companies, but the purported aim is to serve “connected world” consumers in all areas of technology from smartphones to household electrical goods.
Phones 4u has an existing mobile phone retailing venture with Dixons, but that looks set to be scrapped if the merger goes ahead.
The UK smartphone retailer was apparently trying to highjack the Carphone/Dixons deal, but now a formal deal looks close to completion, Phones 4u must have been knocked down.
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Via: Sky News