Fox Corporation has agreed to buy Roku Inc. in a cash-and-stock deal valued at about $22 billion, a move that would combine one of the country’s biggest live sports and news companies with a major streaming platform.
The transaction would mark Fox’s largest strategic move since its 2020 purchase of Tubi. If completed, the combined company is expected to become the third-largest U.S. television player by total viewing share, pairing Fox’s live programming with Roku’s streaming technology, The Roku Channel, and its first-party viewer data from more than 100 million households worldwide.
Under the terms of the agreement, Roku shareholders would receive $160 per share, consisting of $96 in cash and about 0.9693 shares of Fox Class A common stock. After the deal closes, current Fox shareholders are expected to own roughly 73% of the combined company, while Roku shareholders would hold about 27%.
Both companies’ boards have unanimously approved the deal. The transaction is expected to close in the first half of 2027, subject to shareholder and regulatory approval.
The purchase reflects Fox’s push to connect its live content more directly with streaming audiences. Fox holds major sports rights for the NFL, Major League Baseball, NASCAR, the Big Ten, and the FIFA World Cup. It also owns FOX News and FOX Business, two of the most prominent news brands in cable television.
Roku brings one of the largest connected TV platforms in the market, operating across millions of devices and serving as both a streaming hub and an advertising platform.
“This is a defining moment for FOX,” said Lachlan Murdoch, executive chair and chief executive officer of Fox Corporation. “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 companies said the combination would strengthen Fox’s position in connected TV advertising, one of the fastest-growing segments of the media business. By combining Roku’s platform and consumer relationships with Fox’s programming and ad sales operation, the new company expects to improve viewer engagement, expand content recommendations, and create new opportunities in both ad-supported and subscription streaming.
Roku Founder and Chief Executive Officer Anthony Wood said the deal would help the company move faster.
“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.”
Fox expects the acquisition to expand its digital advertising business while maintaining a balance between traditional television and streaming revenue. The company projects about $400 million in annual cost synergies on a run-rate basis, with additional potential benefits from combining content, advertising, and platform operations.
Together, the companies are betting that live television and streaming distribution can be more powerful under one roof.
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