Electroworld operates 26 specialist electrical retail stores across Czech Republic and Slovakia. It made a pre-tax loss of 5.6 million on turnover of 129 million pounds in Dixons' 2013-14 year.

Following completion, which is expected to take place during the summer, and which remains subject to regulatory clearance, Dixons expects to receive a small deferred cash consideration spread over three years.

Having announced the merger on Thursday, Dixons and Carphone have moved quickly to tidy up their portfolios.

On Friday, Carphone said it had agreed to sell its 46 percent stake in Virgin Mobile France.

(Reporting by James Davey, Editing by Paul Sandle)

Stocks treated in this article : Dixons Retail PLC, Carphone Warehouse Group PLC