That's sent Vodafone shares up nearly five per cent in early trading. The $130bn (£84bn) deal is set to be one of the biggest in corporate history.
Verizon's board is expected to meet today to approve the terms of the deal.
The consideration would substantially comprise a mixture of Verizon common stock and cash.
There is no certainty that an agreement will be reached. A further announcement will be made as soon as practicable.
Our technology reporter Oliver Smith:
The deal, if approved, will be the third largest ever alongside Vodafone’s $172bn acquisition of Mannesmann AG in 1999 and AOL’s acquisition of Time Warner for $164bn in 2000.