Overview
- Fox announced on June 15 that it will pay $160 a share in a cash‑and‑stock deal that values Roku at about $22 billion and is expected to close in the first half of 2027.
- The transaction includes roughly $12 billion of bridge debt committed by Morgan Stanley to fund the cash portion and will add Roku founder Anthony Wood to Fox’s board at closing.
- Fox says the deal will unite its live sports, news and Tubi ad‑supported streamer with Roku’s operating system, ad technology and access to more than 100 million streaming households to scale advertising reach.
- Investors punished Fox’s stock after the announcement because the deal increases leverage and dilution, and analysts warn the promised $400 million in annual cost synergies and free‑cash‑flow gains depend on multi‑year integration.
- The acquisition still needs shareholder and regulatory approvals, other suitors including Netflix declined to pursue a bid over antitrust concerns, and platform partners are watching closely for any changes to app discovery or ad treatment.