Fox Corporation Acquires Roku Inc. for $22 Billion: Strategic Move for Growth and Innovation
Fox Corporation has announced its acquisition of Roku Inc. for $22 billion, with existing Fox shareholders expected to own 73% of the combined company and Roku shareholders 27%. The deal includes a cash portion funded by new debt and cash on hand. The transaction is projected to achieve $400 million in cost synergies and be accretive to free cash flow per share by the second year after closing. Roku founder Anthony Wood will join the Fox board of directors post-transaction. The deal is subject to customary closing conditions and is anticipated to close in the first half of 2027.
Fox Corporation recently reported strong third-quarter fiscal 2026 earnings, surpassing analysts' expectations with an EPS of $1.32 and revenue of $3.99 billion. The company also secured a multi-year agreement with the NFL to broadcast games in Mexico, showcasing strategic moves to expand its broadcasting reach. Fox Corporation's financial performance and strategic partnerships demonstrate its commitment to growth and innovation in the media industry.