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O2 make their second purchase in two days

Spanish owned operator O2 will pay around £30m for a 60% stake in high street independent retailer, The Link. The stores are owned by DSG who are the owners of PC World, Dixons and Currys.digital chains.

The Link has over 300 stores in the UK and employs 2,300 staff. The high street retailer has been struggling against both online retailers, who can afford to keep costs low as they only maintain an online presence, and other major high street retailers such as the Carphone Warehouse.

Carphone Warehouse and Virgin Mobile retail outlets have both built up a reputation for excellent customer service, in order to explain mobile phones more to the consumer and sell more contracts whereas The Link has been seen as a standard pre-paid mobile phone shop and as such has seen revenues and customer numbers continue to struggle.

This is the second deal for O2 in two days as they previously bought broadband network Be for £50m. You can read more about o2's previous purchase in our recent news article titled Mobile Phones plus Broadband vs VOIP as well as finding out more about the trend of mobile phone companies purchasing broadband companies - possibly as an answer to the swelling popularity of VOIP.