Fox Corporation has agreed to acquire Roku, Inc. in a $22 billion cash-and-stock transaction that would fuse one of the world’s largest live sports and news broadcasters with a dominant connected-TV platform, reshaping the U.S. streaming landscape.
Under the agreement, Roku shareholders will receive $160 per share, comprising $96 in cash and 0.9693 FOX Class A shares, valuing the deal at approximately $22 billion in enterprise value. The transaction is expected to close in the first half of 2027, subject to regulatory and shareholder approvals.
The combination brings together FOX’s portfolio of live sports, news, and entertainment — including NFL, MLB, NASCAR, and FOX News — with Roku’s streaming ecosystem, which reaches more than 100 million global streaming households through its operating system and The Roku Channel.
FOX said the acquisition will position the combined company as one of the largest players in U.S. television by viewing share, spanning broadcast, cable, and streaming. The company also owns the ad-supported streaming service Tubi, which will be integrated into the broader platform strategy alongside Roku’s distribution infrastructure.
Lachlan Murdoch, FOX’s executive chair and CEO, described the deal as a “defining moment” that accelerates the company’s pivot toward high-growth digital video markets, particularly connected TV advertising.
Roku founder and CEO Anthony Wood said the transaction would accelerate innovation and scale, calling FOX a “natural partner” for the next phase of streaming growth.
Strategically, FOX said the deal will deepen its position in connected TV advertising, strengthen content distribution, and expand direct-to-consumer engagement. The company expects about $400 million in annual cost synergies and anticipates the transaction to be accretive to free cash flow per share within two years of closing.
FOX plans to finance the cash portion through a mix of debt and cash on hand, supported by a $12 billion bridge financing package arranged by Morgan Stanley. The company expects pro forma net leverage of about 2.8x after closing.
Upon completion, FOX shareholders will own roughly 73% of the combined entity, with Roku investors holding about 27%. Roku’s CEO will join the FOX board following the merger.
The deal marks one of the largest media convergence transactions in recent years, underscoring accelerating consolidation between traditional media companies and streaming platforms as competition for viewer attention and advertising dollars intensifies.