Feeds

Have PIXmania. In fact, have £59m with it too, Dixons tell German VCs

Venture capital bods take gadget souk off hands of high street retailer

Seven Steps to Software Security

Dixons Retail has forked out £59m to convince German venture capitalist mutares AG to take loss-making web shop PIXmania off its hands.

And so ends the retail firm's costly flirtation with the online gadget souk seven years after it coughed €266m for a 77 per cent stake in the biz and a little over a year after it bought the remaining shares for €10m.

The requisite consultations with the relevant works council in France, where PIXmania is based, progressed "swiftly" said Dixons Retail boss Sebastian James.

In the most recent closed fiscal year ended April, PIXmania generated an operating loss of £31.3m compared to an operating loss of £20m in the previous financial year.

Sales came in at £397.7m, a steep fall on the £655m the online operation had made in fiscal 2012. Gross assets stood at £48m.

This came after Dixons tasked long serving director Phil Birkeck with restructuring the online outlet and improving sales in August last year.

The £59m dowry is to make sure the new owner have enough working capital to fund operations, and is reminiscent of when Kesa Electricals sold Comet to a VC for £1 while also handing over £50m in cash for the privilege. ®

Boost IT visibility and business value

More from The Register

next story
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
Airbus promises Wi-Fi – yay – and 3D movies (meh) in new A330
If the person in front reclines their seat, this could get interesting
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
Want to beat Verizon's slow Netflix? Get a VPN
Exec finds stream speed climbs when smuggled out
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Mobile application security vulnerability report
The alarming realities regarding the sheer number of applications vulnerable to attack, and the most common and easily addressable vulnerability errors.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.