Fox Corporation to acquire Roku in $22 billion deal

Each Roku stock volition beryllium exchanged for $96 successful currency positive 0.9693 Fox Class A communal banal shares. Fox priced the banal constituent astatine $64 per Roku share, derived from a notation terms of $66.03 per Fox stock — the 10-day volume-weighted mean arsenic of June 10, 2026. At $160 per stock total, the bid comes successful 11.4% supra wherever Roku past closed, per CNBC.

Upon closing, existing Fox shareholders are expected to ain astir 73% of the combined company, with Roku shareholders holding the remaining 27%, the institution said. The transaction has been approved by the boards of some companies and is expected to adjacent successful the archetypal fractional of 2027, pending shareholder and regulatory approvals.

Fox expects to money the currency information with caller indebtedness and currency connected hand. Morgan Stanley Senior Funding has provided $12 cardinal successful afloat committed span financing to enactment the acquisition. The institution said it expects pro forma nett leverage of astir 2.8x astatine closing and anticipates the woody volition beryllium accretive to escaped currency travel per stock by the 2nd afloat twelvemonth aft closing, with astir $400 cardinal successful run-rate outgo synergies.

The combined institution would go the third-largest subordinate successful U.S. tv by stock of viewing, the institution said. Together, Fox's contented portfolio — which includes NFL, MLB, NASCAR, FOX News and the Tubi streaming work — would beryllium paired with Roku's connected TV platform, The Roku Channel, and Roku's first-party information and advertiser relationships.

Fox CEO Lachlan Murdoch said successful a statement: "This operation volition alteration the scope of our institution into high-growth verticals and output a measurement alteration successful our wide maturation profile."

Roku Founder, Chairman and CEO Anthony Wood volition clasp a relation astatine the combined institution and articulation the Fox committee of directors pursuing the adjacent of the transaction. Wood and entities holding astatine slightest a bulk of Roku's voting powerfulness person entered into a voting and enactment statement to backmost the deal, the institution said.

Last year, Roku's level conception accounted for 87.5% of full institution revenue, oregon $4.1 billion, according to Bloomberg. Within that segment, integer advertizing leads each gross categories; successful the archetypal 4th unsocial it brought successful $613 million, a 27% summation from the aforesaid play a twelvemonth earlier.