Disposal of The Phone House Deutschland
15 April 2015
Dixons Carphone plc, Europe's leading specialist electrical and telecoms retailer and services company, today announces that it has entered into an agreement to dispose of The Phone House Deutschland GmbH to Drillisch AG, a leading mobile virtual network operator in Germany. This disposal follows a period of significant restructuring for the German business and is in line with the Group's stated strategy of focusing on market leadership positions while engaging in other markets through partnerships with its Connected World Services division.
Following completion, which is expected to take place by the end of May at the latest, Dixons Carphone will receive circa 3% in shares of the Drillisch AG Group, with potential further deferred payments from future excess cash flows.
Commenting on the disposal, Sebastian James, Group Chief Executive, said:
"Having previously announced the disposal of our retail operations and the closure of our wholesale hardware operations in Germany, today's announcement is a positive move to secure the future of the significant remaining operations within The Phone House Deutschland through a partnership with Drillisch AG, a highly professional, successful and growing business. At the same time, this transaction enables Drillisch to broaden its horizons into wholesale connection and dealer operations.
We have also agreed a long-term service contract, for the provision of insurance, with scope to expand this into further services in future, through our Connected World Services division. We believe that this is the start of a strong, healthy and growing business together and I could not be more pleased to be working with this excellent team."
ENDS
For further information
Kate Ferry |
IR, PR & Corporate Affairs Director |
+44 (0)7748 933 206 |
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Hannah Collyer |
Head of Media Relations |
+44 (0)1727 203 041 |
Nick Cosgrove, Helen Smith |
Brunswick Group |
+44 (0)207 404 5959 |
Information on Dixons Carphone plc is available at www.dixonscarphone.com
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About Dixons Carphone
Dixons Carphone plc is Europe's leading specialist electrical and telecommunications retailer and services company, employing over 40,000 people in 12 countries.
Focused on helping customers navigate the connected world, Dixons Carphone offers a comprehensive range of electrical and mobile products, connectivity and expert after-sales services from the Geek Squad and Knowhow.
Dixons Carphone's primary brands include Carphone Warehouse, Currys and PC World in the UK and Ireland, Elkjøp, El Giganten, Gigantti and Lefdal in the Nordic countries, Kotsovolos in Greece, Dixons Travel in a number of European airports and Phone House in Germany, the Netherlands, Portugal, Spain and Sweden. Our key service brands include Knowhow in the UK, Ireland and the Nordics, Geek Squad in the UK, Ireland and various other European markets.
Business-to-business services are provided through Connected World Services, PC World Business and Carphone Warehouse Business. Connected World Services aims to leverage the Group's existing expertise, operating processes and technology to provide a range of services to businesses.
About Drillisch AG
Drillisch AG is a listed stock corporation and one of the largest network-independent telecommunications providers in Germany, with a current subscriber base of 2.1 million. The company has ca. 355 employees and revenues of ca. €290m, with EBITDA of €85.2m in 2014. The company provides its customers with a comprehensive portfolio of services and products from the field of mobile voice and data services.
Drillisch has a Mobile Bitstream Access (MBA) MVNO contract with Telefonica for up to 30% of their utilised network capacity and access to ca. 300 existing Telefonica locations, with a mix of own and partner shops. The group also develops and markets innovative software services for optimising company business processes, through its IT subsidiary.
