By Jonathan Davies

Dixons Carphone has agreed a deal with US telecoms firm Sprint that could see it open 500 stores in the US.

The British firm will run a pilot programme, opening 20 Sprint stores in the US. If the pilot is successful, Dixons Carphone will invest $32 million for a 50% stake in the venture, which could lead to as many as 500 Sprint stores in the US.

Sprint is the US' third largest broadband providers and also owns Boost Mobile and Virgin mobile phone networks.

The deal marks the first real expansion of Dixons Carphone since Dixons and Carphone Warehouse merged last year.

Andrew Harrison, Dixons Carphone deputy chief executive, said "This is a very exciting venture for us, and is a significant step in growing our business in the US.

"We bring specialist knowledge and skills to this partnership and will be looking to deliver innovation and outstanding customer service under the Sprint brand."