Dixons announces Carphone Warehouse merger talks
Following recent speculation over a move, high street retailer Dixons has announced that it and Carphone Warehouse are in "preliminary discussions" over a possible merger.
That's one way for Dixons to take a step into the mobile sector, something it's been looking to do for a while now.
Shares in Carphone Warehouse and Dixons have jumped by more than two and three per cent respectively.
The announcement follows a blog entry by Ben Harrington, who said that his sources believe discussions of an all-share merger have now "reached a relatively advanced stage."
But Dixons' statement is keen to stress that talks are only at a "very preliminary stage and there can be no certainty that a transaction will be forthcoming."
No decision has been reached regarding the structuring of any such merger. Accordingly until further notice, for the purposes of the Code, both Dixons and Carphone Warehouse will be treated as offeree companies.