Key facts
- Fox Corporation is acquiring Roku for $22 billion in a cash-and-stock deal.
- The acquisition price is $160 per share, comprising $96 in cash and 0.9693 shares of Fox Class A common stock.
- The deal aims to integrate Fox's content with Roku's streaming platform, expanding its digital reach and advertising capabilities.
- Roku's platform provides Fox with direct access to over 100 million households.
- Fox shareholders are expected to own approximately 73% of the combined company, with Roku shareholders owning 27%.
- The transaction is anticipated to close in the first half of 2027, pending regulatory approval.
Fox Corporation announced Monday it is buying streaming company Roku for $22 billion in a cash-and-stock deal. The acquisition aims to integrate Fox's content with Roku's platform, expanding its digital reach and advertising capabilities.
The deal values each Roku share at $160, comprising $96 in cash and 0.9693 shares of Fox Class A common stock. Roku's platform reaches over 100 million households and will continue to operate as an open and partner-friendly platform.
The combined company is expected to become the third-largest player in U.S. television by share of viewing. The transaction is subject to approval by Trump administration regulators.
Lachlan Murdoch, CEO of Fox, called the acquisition a "defining moment" for his company, which has focused on live news and sports and previously acquired the streaming service Tubi.
Under the terms of the deal, existing Fox shareholders will own approximately 73 percent of the combined company, while Roku shareholders will own 27 percent. Roku founder Anthony Wood stated the transaction offers a significant premium to Roku shareholders and provides an opportunity to participate in the future upside of the combined company. Wood will join the Fox Board of Directors and have an ongoing role.
The acquisition is expected to close in the first half of 2027 and generate approximately $400 million in annual cost savings.