O2 inks a deal for The Link

Mobile operator O2 UK has agreed to buy partner DSG International out of telecoms retailer The Link. A statement from DSG, which also owns UK electrical retailers Dixons, Currys and PC World, said it was selling its 60% stake in The Link to O2 for about GBP30 million (USD55 million).

The Link was set up by DSG in 1994, with O2 coming on board three years later in an attempt by the operator to secure a presence on the high street at a time when rivals Vodafone and One2One (now T-Mobile) were rolling out retail sites of their own; its stores now number more than 300. DSG was first reported to be mulling the sale of its stake in The Link in April, following a disappointing performance over the Christmas period, during which sales fell 9% year-on-year.