Fox Corp to acquire Roku in $22 billion deal reshaping US streaming market

Fox Corporation announced a cash‑and‑stock transaction to acquire Roku for an enterprise value of about $22 billion. Fox will pay $96 in cash plus 0.9693 of its Class A shares for each Roku share, giving Fox 73 % ownership of the combined company while Roku shareholders retain 27 %. The deal is expected to close in the first half of 2027 and is being financed in part by a $12 billion loan from Morgan Stanley.

The acquisition brings Roku’s platform, which reaches more than 100 million streaming households and accounts for roughly 3 % of U.S. TV viewership, under Fox’s umbrella of assets that include the free ad‑supported service Tubi, Fox News and Fox Sports. Both companies said the businesses will remain separate – Tubi and The Roku Channel will continue to operate as distinct services – but will be leveraged to create a larger ad‑supported streaming ecosystem. Fox expects around $400 million in annual run‑rate cost synergies and a stronger advertising platform powered by Roku’s data and distribution capabilities.

Roku chairman and CEO Anthony Wood will join Fox’s board, and Murdoch described the purchase as a “natural extension” of Fox’s decade‑long strategy to dominate ad‑supported streaming. Analysts project the combined entity could control about 5 % of total television viewing, positioning it behind only YouTube and Netflix among streaming platforms.