UK retailer, Dixons Carphone is expanding to the US under a tie-up with the country's 3rd largest Operator, Sprint to open and manage up to 500 retail stores across the States. In the initial phase, Dixons Carphone will supply its mobile phone retail expertise and proprietary knowledge to Sprint who will initiate the project by opening the first 20 stores. If these stores prove to be successful, the parties will progress to a second phase which will involve Dixons Carphone investing equally with Sprint in a joint venture to support rollout plans of up to 500 stores.
During the second phase, Dixons Carphone said that it will invest up to $32 million to obtain a 50% interest in the new venture, and this cash will be used by the business to fund the roll-out and operation of the stores.
Marcelo Claure, Sprint CEO
We are delighted to be working with Sprint and to be a part of a transformation in their business that is already making impressive headway. This is a very exciting venture for us, and is a significant step in growing our CWS business in the US. We bring specialist knowledge and skills to this partnership and will be looking to deliver innovation and outstanding customer service under the Sprint brand.
Andrew Harrison, Dixons Carphone Deputy Group Chief Executive and CEO of the Connected World Services division
We are excited to partner with Dixons Carphone and to leverage all their know-how as one of the world's leading wireless retailers to benefit Sprint and its customers. We are committed to offering the best customer experience when buying wireless products and services Commenting on the transaction.