Fox Corporation to acquire Roku in $22 billion deal

Under the agreement, Fox will acquire Roku for $160 per share through a combination of cash and Fox Class A stock. The transaction would unite Fox’s portfolio of live sports, news, entertainment programming, and ad-supported streaming service Tubi with Roku’s streaming platform, which reaches more than 100 million households worldwide.

Fox CEO Lachlan Murdoch said, “This is a defining moment for FOX, and a natural extension of the deliberate and focused strategy we have been executing for nearly a decade,” Murdoch said. “Today, we take the next step: bringing together the most valuable live content portfolio in video consumption with the preeminent streaming platform through which America watches it.”

The combined company would become the third-largest player in U.S. television by share of viewing, according to the companies, bringing together Fox’s sports and news properties—including the NFL, MLB, NASCAR, Big Ten athletics, FIFA World Cup, Fox News, and Fox Business—with Roku’s connected television platform and The Roku Channel.

Fox said the acquisition would strengthen its position in high-growth streaming and connected television advertising markets while expanding its direct relationship with viewers through Roku’s platform technology and user data capabilities. The company also said it expects to achieve roughly $400 million in annual cost synergies after the deal closes.

Roku founder and CEO Anthony Wood said the transaction would help accelerate Roku’s long-term growth plans. “Over the past two decades, we’ve built Roku into the leading TV streaming platform,” Wood said. “The combination with FOX is an extraordinary opportunity to accelerate our vision, scale faster and innovate more aggressively for viewers, partners and advertisers.”

Following the merger, existing Fox shareholders are expected to own approximately 73 percent of the combined company, while Roku shareholders will own roughly 27 percent. Wood will join Fox’s board of directors and continue to serve in an ongoing role with the combined company.

Fox said it plans to fund the cash portion of the acquisition through a combination of cash on hand and new debt financing, including a committed $12 billion bridge financing facility from Morgan Stanley. The company said it intends to maintain its investment-grade credit rating and continue its existing dividend and stock buyback programs.

The transaction has been unanimously approved by both companies’ boards and is expected to close during the first half of 2027, pending shareholder approval and regulatory review.