Liberty and Virgin said in a statement on Tuesday that under the terms of the deal, Virgin Media shareholders will receive around $47.87 in cash and stock per Virgin Media share, a 24 percent premium to Friday's closing price.
That would value the cash and stock part of the deal (excluding debt) at $16 billion.
The deal includes $17.50 in cash, 0.2582 Liberty Global class A shares and 0.1928 Liberty Global class C shares for each Virgin Media share.
Virgin Media is the second-biggest pay-TV provider in Britain behind Murdoch's satellite group BSkyB.
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