Carphone Warehouse is to merge with Dixons Retail, the owner of Currys and PC World.
The £3.8bn tie-up will see the firm become known as Dixons Carphone though the existing retail brands will not be affected.
Dixons operates more than 500 Currys and PC World stores in the UK and Ireland while Carphone Warehouse runs more than 2,000 stores across Europe.
As Dixons primarily focuses on out-of-town retail while Carphone Warehouse largely operates in high streets, it is not thought the merger will lead to store closures. However, some existing staff may be affected.
Carphone Warehouse was co-founded in 1989 by Grimsby businessman David Ross. He left the board in 2008 but maintains a 9.7 per cent stake in the company.
Mr Ross is expected to be named in the latest Sunday Times Rich List which will be published this weekend.
In 2013, he was ranked 122nd on the list with a fortune of £710m, climbing 31 places from the previous year.
