Full Breakdown
Fox Corp. to Acquire Roku in $22 B Cash-and-Stock Deal
6/15/2026, 7:54:02 PM
Deal Overview
Fox Corp. announced on June 15 2026 a cash-and-stock acquisition of Roku for about $22 billion, $160 per share ($96 cash plus 0.9693 Fox shares). The deal awaits shareholder and regulator approval, targeting a first-half-2027 close.
Strategic Background
Fox, led by Lachlan Murdoch, owns live news, sports (NFL, MLB, FIFA) and the ad-supported Tubi service (acquired 2020). Roku, founded by Anthony Wood in 2002 after a Netflix spin-off, provides streaming devices, the free Roku Channel, and earned $613 million in Q1 2026 advertising, up 27% YoY, reaching over 100 million households.
Deal Terms & Metrics
After closing, Fox will own about 73% and Roku 27% of the combined company. Fox expects $400 million annual cost synergies and will fund the cash portion with $12 billion bridge debt from Morgan Stanley plus cash, targeting a net-leverage near 2.8×. Roku’s 2025 platform revenue was $4.1 billion (87.5% of total) and advertising rose 27% YoY.
Strategic Rationale
The acquisition gives Fox direct access to Roku’s first-party data and a “direct relationship” with over 100 million households, boosting targeted ads and reducing cable reliance while pairing live sports with a leading streaming OS.
Official Statements
Murdoch called the deal “a defining moment” that “brings together the most valuable live content portfolio with the preeminent streaming platform.” Wood called it “an extraordinary opportunity to accelerate our vision, scale faster and innovate more aggressively.” Both pledged to keep Roku open and partner-friendly.
Criticism & Concerns
Analysts warn the debt load could strain Fox’s balance sheet and affect NFL rights deals. Greenfield called Roku a “TV gatekeeper,” raising antitrust concerns; Pescatore urged platform neutrality.
Conflicting Reports
Equity value is reported as $22 billion or $25 billion; premium ranges from 11% to 33.7%. Most filings cite a first-half-2027 close, some say “first half of next year.”
Verbatim Quotes
- “I’m incredibly proud of what our team has built, and the combination with Fox is an extraordinary opportunity to accelerate our vision, scale faster and innovate more aggressively for viewers, partners and advertisers.” — Anthony Wood, CEO, Roku
- “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,” — Lachlan Murdoch, CEO, Fox
- “This gives Fox greater control over discovery, data and monetisation at a time when TV viewing continues to shift away from traditional channels,” — Paolo Pescatore, Analyst, PP Foresight
- “TV gatekeeper.” — Rich Greenfield, Analyst, Lightshed
What’s Next
The deal still requires shareholder votes and U.S. antitrust clearance. Fox projects the combined firm will be accretive to free-cash-flow per share by 2029 and deliver $400 million in savings.
