  Entangled coherent states are shown to emerge, with high fidelity, when
mixing coherent and squeezed vacuum states of light on a beam-splitter. These
maximally entangled states, where photons bunch at the exit of a beamsplitter,
are measured experimentally by Fock-state projections. Entanglement is examined
theoretically using a Bell-type nonlocality test and compared with ideal
entangled coherent states. We experimentally show nearly perfect similarity
with entangled coherent states for an optimal ratio of coherent and squeezed
vacuum light. In our scheme, entangled coherent states are generated
deterministically with small amplitudes, which could be beneficial, for
example, in deterministic distribution of entanglement over long distances.
