Fox to Buy Roku for $22 Billion

<p class&equals;"ql-align-justify"><strong>NEW YORK &amp&semi; SAN JOSE — <&sol;strong>Fox Corporation &&num;8212&semi; owner of the Fox TV network&comma; Tubi and news and sports cable channels &&num;8212&semi; said it will acquire streaming platform Roku for &dollar;160&period;00 per share in a combination of cash and FOX Class A common stock&comma; valuing Roku at approximately &dollar;22 billion in enterprise value&period;<&sol;p>&NewLine;<p class&equals;"ql-align-justify">The transaction combines FOX’s leading sports&comma; news&comma; and entertainment content and the Tubi service with Roku’s leading connected TV platform&comma; The Roku Channel&comma; first-party data and direct relationship with more than 100 million global streaming households&period; Together&comma; FOX and Roku will create a scaled next-generation media and technology company positioned at the intersection of two of the most important forces reshaping video consumption&colon; the enduring primacy of live sports and news&comma; and the continued rise of streaming&period;<&sol;p>&NewLine;<p class&equals;"ql-align-justify">FOX is acquiring Roku in a cash-and-stock transaction valued at &dollar;160&period;00 per ROKU share&period; FOX will pay &dollar;96&period;00 in cash and 0&period;9693 shares of FOX Class A common stock for each Roku Class A and Class B share outstanding immediately prior to the effective time of the merger&period; The stock consideration represents &dollar;64&period;00 per ROKU share based on a reference price of &dollar;66&period;03 per share&comma; the 10-day volume-weighted average price of FOX Class A common stock as of June 10&comma; 2026&period;<&sol;p>&NewLine;<p>Shares in Roku were trading at about &dollar;142 per share Monday&comma; up 33&percnt; for the year&period;<&sol;p>&NewLine;<p class&equals;"ql-align-justify">Upon closing&comma; existing FOX shareholders are expected to own approximately 73&percnt; of the combined company and Roku shareholders approximately 27&percnt;&period; The transaction has been unanimously approved by the Boards of Directors of both companies&period; The transaction is expected to strengthen FOX&&num;8217&semi;s long-term growth profile&comma; accelerate its digital strategy&comma; be accretive to free cash flow per share by the second full year after closing&comma; and achieve approximately &dollar;400 million of run-rate cost synergies with additional revenue upside&period;<&sol;p>&NewLine;<p class&equals;"ql-align-justify">FOX and Roku are committed to continuing to operate Roku as an open&comma; partner-friendly platform and to the continued ubiquitous distribution of FOX content&period; On a pro forma basis&comma; the combined company will become the third-largest player in U&period;S&period; television by share of viewing&comma; with an attractive mix of FOX’s sports&comma; news&comma; and entertainment content&comma; alongside streaming services Tubi and The Roku Channel&period; That distribution and engagement scale spans every major viewing environment – broadcast&comma; cable&comma; local&comma; and streaming – creating broad and diversified reach that benefits viewers&comma; partners&comma; and advertisers&period;<&sol;p>&NewLine;<p class&equals;"ql-align-justify"><strong>Lachlan K&period; Murdoch&comma; Executive Chair and Chief Executive Officer of Fox Corporation&comma; said&colon;<&sol;strong><&sol;p>&NewLine;<p class&equals;"ql-align-justify">&OpenCurlyDoubleQuote;This is a defining moment for FOX&comma; and a natural extension of the deliberate and focused strategy we have been executing for nearly a decade&period; In 2019&comma; we reoriented the company around live news and sports&period; In 2020&comma; we acquired Tubi&comma; and under our stewardship it has become one of the most successful businesses in streaming&period; Today&comma; we take the next step&colon; bringing together the most valuable live content portfolio in video consumption with the preeminent streaming platform through which America watches it&period; This combination will transform the scope of our company into high-growth verticals and yield a step change in our overall growth profile&period; And we are executing this acquisition from a position of financial strength – maintaining our investment grade balance sheet while providing our shareholders with an uninterrupted return of capital program in the form of share buybacks and dividends&period; Roku pioneered streaming TV and scaled it into a leading CTV platform&period; Together&comma; we intend to lead its next chapter&period;”<&sol;p>&NewLine;<p class&equals;"ql-align-justify"><strong>Anthony Wood&comma; Founder&comma; Chairman and Chief Executive Officer of Roku&comma; said&colon;<&sol;strong><&sol;p>&NewLine;<p class&equals;"ql-align-justify">&OpenCurlyDoubleQuote;Over the past two decades&comma; we’ve built Roku into the leading TV streaming platform&comma; reaching more than 100 million households globally and reshaping how people discover and enjoy entertainment&period; I’m incredibly proud of what our team has built&comma; and the combination with FOX is an extraordinary opportunity to accelerate our vision&comma; scale faster&comma; and innovate more aggressively for viewers&comma; partners&comma; and advertisers&period; That’s why our Board of Directors unanimously determined after concluding its strategic review process that this transaction offers a significant premium to Roku shareholders while also providing them with the opportunity to participate in the compelling future upside of the combined company&period; I couldn’t be more excited about what we’ll accomplish together&period;”<&sol;p>&NewLine;<p>Wood will have an ongoing role at the combined company and will join the FOX Board of Directors following the close of the transaction&period;<&sol;p>&NewLine;

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