Dixons in merger talks with Carphone

A merger of Dixons Retail Group and Carphone Warehouse would create an electronics giant with an estimated market value of £3.6bn.

Between them, the companies have more than 3,000 stores with annual sales of more than £12bn.

Dixons Retail Group, which specialises in selling mass market technology consumer and electronic products, employs more than 31,000 people in 12 countries and owns PC World and Currys.