Verizon Communications said in a June 30 regulatory filing that it expects a second-quarter loss of US$700 million to US$800 million after agreeing with BT Group to combine parts of their international operations in a 50-50 joint venture.

Verizon said the charge reflects the reclassification of the businesses it will contribute to the joint venture as assets and liabilities held for sale.

The venture will combine BT International, which serves multinational customers with secure communications and network services, with Verizon’s international enterprise wireline business.

The companies said it will serve more than 3,000 customers in more than 180 countries.

BT said the deal supports its UK-focused strategy. Verizon will also make an “equalization payment” of US$625 million to BT, and both companies will have equal voting rights in the venture.

The transaction remains subject to regulatory clearances and employee consultations where required. Completion is expected in 2027.

🔗 Source: Bloomberg