NEW YORK — Fox Corporation announced on Monday that it has agreed to acquire streaming platform Roku Inc. in a cash-and-stock deal valued at about $22 billion.
The transaction, announced by both companies, values Roku at $160 per share. Fox will pay $96 in cash and about 0.9693 shares of its Class A common stock for each Roku share, according to a joint statement.
Fox Corporation, which owns Fox News, the Fox broadcast network and the Tubi streaming service, said the deal would combine its content with Roku’s platform, which reaches more than 100 million households. Roku, based in San Jose, California, operates a streaming device business and its own ad-supported channel.
The companies said the transaction is expected to close in the first half of 2027, subject to regulatory approvals, shareholder votes and other customary conditions. Details on the expected timeline for regulatory review remained unclear.
"This combination creates a scaled media and technology platform with superior reach, engagement and monetization capability," Fox said in the announcement.
The deal marks a major expansion for Fox into streaming as the media industry continues to shift toward digital distribution. Roku has been a leading player in the connected TV market, providing devices and software that allow users to access streaming services. Fox’s Tubi service would join Roku’s platform under the agreement.
Fox shares fell following the announcement, with analysts citing potential dilution from the stock portion of the deal. Roku shares also traded below the offer price.
The acquisition comes amid broader consolidation in the media and technology sectors, where traditional broadcasters seek stronger positions in streaming. Fox has increasingly focused on live sports, news and free ad-supported streaming television (FAST) channels. Roku’s platform provides extensive distribution and data capabilities that could enhance ad targeting for Fox content.
Both companies stated they intend to maintain Roku as an "open, partner-friendly platform" after the deal closes.
Fox plans to fund the cash portion of the transaction with cash on hand and new debt, officials said. The combined entity is projected to become one of the larger players in U.S. television, according to statements from the companies.
No immediate comments were available from regulators or antitrust authorities on the proposed deal. Industry analysts have noted the transaction could face scrutiny given the size and market positions of both parties, though specific regulatory concerns have not been detailed publicly.
The agreement was unanimously approved by the boards of both companies, officials said. Fox shareholders are expected to own approximately 73% of the combined company upon closing.
Further financial terms and integration plans were not disclosed.
