CpW unveils new identity excitingness
It'll be called... Consignia! Oh, hang on
Details of the forthcoming Carphone Warehouse demerger are emerging: the company is to become "New Carphone Warehouse" and er, "TalkTalk".
New Carphone Warehouse will hold half of Best Buy Europe (Best Buy USA holding the other half), and almost half of Virgin Mobile France, while TalkTalk runs the fixed and mobile businesses - Charles Dunstone remains chair of both companies.
Under the proposals, which still need shareholder approval, every two shares in Carphone Warehouse will be exchanged for one share in New Carphone Warehouse, and two shares in TalkTalk. So an investor holding 100 shares in CPW can expect to hold 50 in NCpW, and 100 in TalkTalk, once the deal has been completed.
That's going to take a couple of months - the company's general meeting is in February, with the demerger scheduled for 16 March and the two new companies getting listed on the 29 March.
The split was announced in April last year, and has been proceeding steadily ever since with the intention of creating two companies - one focused on selling electronics while the other concentrates on providing services. We had hoped Mr Dunstone would decide to give up on the "Carphone" moniker, though it seems history isn't so easily forgotten and the name will remain even if few people still see it. ®
There's probably a change of control clause in the licensing of the Virgin brand, which transferring the operation to Talk Talk would trigger. And presumably Charles doesn't want to give Beardy the opportunity to [further] meddle.
Virgin Mobile France
If the idea is to split CpW into an entity selling electrical goods and an entity selling communications services, why is Virgin Mobile France (a communications service) ending up in the electrical goods one?
2 new companies
but same old crap