Carphone Warehouse and Dixons agree £3.8 billion merger

Carphone Warehouse Group plc and Dixons Retail plc have agreed a £3.8 billion merger to create Dixons Carphone, which will bring high-street giants Carphone Warehouse, Currys and PC World all underneath the same umbrella.

Dixons Carphone, which operates out of 3,000 stores and generates sales of almost £11 billion, will aim to branch into mobile phone controlled heating, lighting and security. It also hopes to retail the combined television, broadband and phone packages which are currently offered by operators such as Virgin Media and BT.

Shareholders of Dixons and Carphone Warehouse will each own 50% of the combined entity under the deal, and Carphone Warehouse concessions will be built into every Dixons outlet.