UK telecom retailer Dixons Carphone has signed an agreement to sell its Spanish business entities to technological solutions company Global Dominion Access (Dominion) for €55m, as it intends to shift its focus to invest in high-footfall markets.
As part of the agreement, the entities to be acquired by Dominion include The Phone House Spain, Connected World Services Europe and Smarthouse.
In 2015, Dixons offloaded its German entity The Phone House Deutschland to virtual network operator Drillisch, while it sold an 83% stake in The Phone House Netherlands to Relevant Holdings.
The series of exits from the European markets is in line with the company’s strategy of focusing on operations in markets where it enjoys success while engaging in other markets through partnerships with its Connected World Services division.
Dominion managing director Mikel Barandiaran said: “We believe in the need for a nearby point of sale where the consumer centralises the growing demand for technological services. Phone House has also recently bet on this trend: for the one-stop-shop of the home."
Following the acquisition, Dominion plans to meet the needs of its customers and manage Phone House under its smart innovation business model, which incorporates digitalisation.
According to the company, the closure of the transaction is expected in the third quarter of this year and subject to approval by the Spanish anti-trust authorities.
Dixons noted that the proceeds from the transaction will be invested back into the business.
Image: Dominion CEO and Dixons Carphone strategy director sign the agreement. Photo: courtesy of Dominion.