- High-tech products retailer eXpansys is to acquire Data Select Network Solutions and PJ Media for a total of £38m.

It says the acquisitions are the first stage in a strategy to become a 'global online technology superstore'.

They will provide the company with strong relationships with network operators, enabling it to offer both SIM-only and connected handset propositions.

The combined consideration will be met by a cash payment of about £13.4m and by the issue of up to 442m shares to the vendors, plus an obligation to pay around £10.8m of debt owed by DSNS.

eXpansys plans to raise £30m gross via a placing at 5.6p a share to fund the cash component.

Its board has been strengthened by the appointment of Bob Wigley, currently chairman of Yell Group and former chairman of Merrill Lynch EMEA, as non-executive chairman and Peter Jones as non-executive deputy chairman.

CEO Anthony Catterson said, 'This is a transformational moment for eXpansys.

'I am delighted that we have been able to attract such high calibre individuals on to the board, and have also received the support of blue-chip institutions who have joined the share register.

'This deal opens up a number of significant strategic opportunities for the company that we fully intend to exploit.'

DSNS specialises in the sale of SIM cards from UK mobile telecommunication network operators and mobile virtual network operators.

PJ Media is an e-commerce and web-publishing business with a number of clients in the telecoms sector.

The DSNS acquisition constitutes a reverse takeover under AIM rules and will require shareholder approval.

Story provided by