28th Jul 2006 07:06
DSG International PLC28 July 2006 PR46/06 28 July 2006 For immediate release DSG INTERNATIONAL PLC SALE OF MAJORITY STAKE IN THE LINK STORES LIMITED TO O2 DSG international plc ("DSGi") and O2 (UK) Limited ("O2") today confirm the saleof DSGi's 60% equity interest in The Link Stores Limited ("The Link") to O2(UK). Under the terms of the agreement, DSGi will receive approximately £30million in cash for its interest in The Link. For a transitional period DSGiwill assist O2 in managing the Link stores for which DSGi will receive amanagement fee. Under the terms of the agreement, DSGi will receive certainongoing billing revenues until 31 December 2007 and will retain the Linkplaninsurance business. Completion of the transaction, which is subject to approval by the relevantcompetition authorities, is anticipated to occur within 4 months. John Clare, DSGi Group Chief Executive said: "I am pleased to confirm the saleof our sixty percent stake in The Link to O2. The Link has deliveredsignificant shareholder value since we created the business in 1994, much creditfor which is due to The Link's staff. We believe that it is now the appropriatetime to divest our interest in The Link, as we intensify our focus on our coremarket-leading operations in multi-channel electricals and computing retailingacross Europe." Matthew Key, Chief Executive O2 (UK) said: "Acquiring The Link is great for O2and great for our customers. In several independent surveys, customers havevoted O2 the number 1 mobile retailer on the high street. This agreement willallow us to accelerate our O2 store rollout plans. By having more stores closerto more customers, we can interact with them more and thus provide an evenbetter service." - Ends - More information: Investors DSGi: David Lloyd-Seed, Group Director of Investor Relations, +44 (0)7779 574780 Media DSGi: Hamish Thompson, Director of Media Relations, +44 (0)7702 684290 O2: Dave Massey +44 (0)7730 426222 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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