BT and Verizon combine global operations in $4B joint venture

BT Group and Verizon Communications ↗ 1.36% on Monday announced a deal to combine their international enterprise operations into a 50:50 joint venture, creating a platform expected to generate approximately $4 billion in combined annual revenue and serve more than 3,000 customers across over 180 countries.marketscreener+2

Verizon has agreed to pay BT an equalization payment of $625 million, with both companies holding equal voting rights in the new entity, which will be incorporated in the Bailiwick of Jersey and headquartered and tax resident in the United Kingdom. The transaction is expected to close in 2027, subject to regulatory clearances and other customary closing conditions.globenewswire+1

A Strategic Milestone for Both Companies

The deal marks a turning point for BT chief executive Allison Kirkby, who has been steadily refocusing the 180-year-old British telecoms group on its home UK market while shedding international assets. BT had revived talks over the future of its international unit in May, holding discussions with carriers including AT&T, Orange, and Verizon about potential transactions involving the division previously known as BT Global.reuters+2

Kirkby said "the world's leading brands and international organizations trust BT International to connect their operations," according to the company's announcement.marketscreener

Verizon CEO Dan Schulman said the venture was "the clear answer" for international customers who need secure, flexible connectivity that works across borders and cloud environments, according to Reuters.marketscreener

New Leadership Appointed

BT and Verizon named Martijn Blanken as chief executive officer-designate of the new company. Blanken, who has served as CEO of Neo Space Group, a Saudi Arabia-based commercial space services company backed by the Public Investment Fund, will join BT Group from September 1, 2026, and work with both parent companies as they prepare to launch the joint venture.neospacegroup+2

The joint venture represents one of the largest deals in international enterprise telecoms in recent years, combining two established networks that serve multinational organizations with connectivity, security, and cloud services across the globe.