Cox Communications has entered into a $34.5 billion deal to merge with Charter Communications which, if approved by federal regulators, will create one of the nation’s largest cable and internet providers.

Cox is the largest provider of cable and internet services in the Valley.

Charter will acquire Cox Communications’ commercial fiber and managed-IT and cloud businesses. Cox Enterprises will contribute Cox Communications’ residential cable business to Charter Holdings, an existing subsidiary partnership of Charter.

As part of the deal, Cox Enterprises will receive $4 billion in cash and about $18 billion in preferred and common stock. The new company will also assume Cox’s $12 billion in outstanding debt.

Within a year of the deal closing, the combined company will change its name to Cox Communications. Spectrum will become the consumer-facing brand within the markets Cox serves. The new company will be headquartered in Stamford, Connecticut, “and will maintain a significant presence” on Cox’s Atlanta campus, according to a press release.

“This combination will augment our ability to innovate and provide high-quality, competitively priced products, delivered with outstanding customer service, to millions of homes and businesses,” Chris Winfrey, president and CEO of Charter, stated in a press release. 

Winfrey will be president of the new company.

The Cox family acquired its first cable-television franchise in 1962.

“In Charter, we’ve found the right partner at the right time and in the right position to take this commitment to a higher level than ever before, delivering an incredible outcome for our customers, employees, suppliers and the local communities we serve," Alex Taylor, chairman and CEO of Cox Enterprises, stated in the release. 

Under the deal, Taylor will become the chairman for the combined company.

Charter’s merger with Cox will be completed along with Charter’s previously announced Liberty Broadband merger.

The James M. Cox Foundation will continue through Charter’s $50 million grant to establish a separate foundation that will encourage community leadership and support where the combined company does business.

“Additionally, Charter will make an initial $5 million investment to establish an employee relief fund that mirrors the Cox Employee Relief Fund, which Cox and the Cox family created in 2005 to help employees through times of hardships such as natural disasters or other unexpected life challenges,” the release continued.

Charter has more than 31 million customers, while Cox has about 6.5 million customers.