Fox has agreed to acquire Roku in a $22 billion deal, the two companies announced Monday. Fox will pay $160.00 per share in a combination of cash and Class A common stock. Fox shareholders would own approximately 73% of the combined company, with Roku shareholders holding the remaining 27%.
According to The Wrap, together with Tubi, the merged entity would hold the third-largest share of U.S. television viewership. Both companies said they intend to keep Roku as an open, partner-friendly platform, with the deal built on a bet on the enduring strength of live sports, news, and streaming.
Fox Corp. CEO Lachlan Murdoch framed the acquisition as the next step in a strategy the company has been building for nearly a decade. "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. "In 2019, we reoriented the company around live news and sports. In 2020, we acquired Tubi and under our stewardship it has become one of the most successful businesses in streaming. 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."
Murdoch also addressed the financial side of the deal directly. "We are executing this acquisition from a position of financial strength – maintaining our investment grade balance sheet while providing our shareholders with an uninterrupted return of capital program in the form of share buybacks and dividends," he said.
Roku founder and CEO Anthony Wood pointed to the platform's scale as the foundation for what comes next. "Over the past two decades, we've built Roku into the leading TV streaming platform, reaching more than 100 million households globally and reshaping how people discover and enjoy entertainment," Wood said. "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."
Wood added that his board moved unanimously in favor of the deal. "Our Board of Directors unanimously determined after concluding its strategic review process that this transaction offers a significant premium to Roku shareholders while also providing them with the opportunity to participate in the compelling future upside of the combined company," he said.
Upon closing, Wood will join the Fox Board of Directors and continue in an undisclosed ongoing role at the company. The deal is expected to close in the first half of 2027, pending regulatory approval.
