Verizon Communications (VZ) Stock Surges as BT Deal Sets Up $4B Global Enterprise Venture

TLDR

• Verizon stock rose as BT deal creates a $4B enterprise venture.

• BT and Verizon will share equal control of the new global business.

• The venture will serve 3,000 clients across more than 180 countries.

• Verizon will pay BT $625M under the joint venture structure.

• Martijn Blanken will lead the venture after the deal closes.

Verizon Communications (VZ) stock closed higher after BT Group and Verizon announced a 50:50 international enterprise joint venture. The deal combines their global enterprise operations and targets multinational customers across more than 180 countries. Verizon closed at $46.54, up 1.02%, while pre-market trading slipped 0.30% to $46.37.

Verizon Communications Inc., VZ

BT and Verizon Form Global Enterprise Joint Venture

BT Group and Verizon will combine their international enterprise operations under a jointly owned business. Both companies will hold equal voting rights in the new venture. Verizon will also pay BT an equalization payment of $625 million.

The venture will serve more than 3,000 enterprise customers across global markets. It will also represent about $4 billion in combined annual revenue. The deal gives both companies a larger platform for enterprise connectivity services.

The companies said the structure will support multinational organizations with secure communication and network services. The business will bring together BT International and Verizon’s international enterprise wireline arm. As a result, the venture will focus on cross-border connectivity, cloud networks, and compliance needs.

Deal Gives Verizon and BT Scale in Enterprise Connectivity

The joint venture targets companies that need secure global networks across multiple regions. It will support data, operational, and regulatory requirements for large organizations. Moreover, the companies expect the combined network to unlock scale efficiencies after completion.

The business will be incorporated in the Bailiwick of Jersey. However, it will be headquartered and tax resident in the United Kingdom. The venture will also create commercial relationships with both parent companies after closing.

BT and Verizon will continue serving their domestic markets while supporting the new enterprise platform. BT will focus on its United Kingdom strategy, and Verizon will continue serving United States customers directly. This structure allows both firms to simplify international operations while keeping core market control.

Martijn Blanken Named CEO-Designate

BT and Verizon named Martijn Blanken as chief executive officer-designate of the joint venture. His appointment depends on completion of the transaction. Blanken will join BT on September 1, 2026, before the proposed launch.

Blanken has held senior roles across telecommunications, technology, and digital infrastructure. His career includes leadership roles at Telstra, Openwave Systems, EXA Infrastructure, and KPN. The companies selected an executive with long experience across global network businesses.

Clive Selley will continue leading BT International as chief executive during the transition. Verizon’s leadership structure will remain unchanged. Both international businesses will operate independently until regulators clear the transaction.

Transaction Still Needs Regulatory Approval

The deal still requires regulatory clearances and employee consultation in required countries. Until then, BT and Verizon will run their international businesses separately. Both companies said they will maintain service commitments to customers during the process.

Goldman Sachs advised BT as lead financial advisor on the transaction. Deloitte served as transaction services advisor, while Freshfields LLP acted as legal counsel. Morgan Stanley advised Verizon, and Kirkland & Ellis LLP acted as its legal counsel.

The agreement gives Verizon a clearer path in global enterprise connectivity. It also helps BT reshape its international business under a more focused structure. The transaction must still clear the required approval process before the venture starts operations.

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