Canada's Teleglobe Inc., which provides long distance telecommunications services to 165 countries, is merging with Dallas-based Excel Communications Inc. and its United States network.

The two companies said the merger would create a worldwide communications company worth US$7 billion on the market, merging Teleglobe's reach with Excel's distribution network through independent sales representatives.Teleglobe's chairman and chief executive, Charles Sirois, told financial analysts in a conference call that Teleglobe is second only to AT&T in its worldwide reach. But it is especially strong by satellite and cable in Europe, North America and Japan, he said.

Teleglobe, essentially a wholesaler of services, moves into retail with Excel, the fifth largest long distance company in the U.S., with 400,000 core sales representatives in the U.S.

Excel would recruit similar ones especially in the Group of 7 industrial countries, to market Teleglobe's products such as Internet access, calling cards, debit cards and other services, in the United States and abroad.

''Teleglobe has the (international) network, the products, and Excel has the distribution channels,'' Kenny Trout, chairman and chief executive of Excel, told reporters.