Shareholders Approve Fox’s $22 Billion Roku Acquisition
Shareholders of Fox and Roku approved Fox’s proposed acquisition of Roku, a deal valued at $22 billion that would expand Fox’s streaming reach. The merger combines Roku’s connected TV platform with Fox’s news, live sports and broadcasting businesses.
Fox will pay $160 per Roku share in cash and Fox Class A stock. Fox shareholders are expected to own about 73% of the combined company, with Roku shareholders holding 27%; Roku founder Anthony Wood will join Fox’s board. Fox says the deal remains on track to close in the first half of next year, despite a US Department of Justice information request.
- Fox and Roku shareholders approved the proposed $22 billion deal.
- Fox will pay $160 per Roku share in cash and stock.
- The merger is expected to close in the first half of next year.
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Fox is a US media company whose businesses include television networks, news and sport. Roku makes streaming devices and software that let people watch online services on their televisions; it also runs an advertising-supported streaming service.
The proposed combination brings Fox’s programmes and broadcasting operations together with Roku’s platform, which is used to access streaming services. Fox shareholders are set to hold most of the combined company, while Roku founder Anthony Wood is expected to join its board.
The deal matters because it would link a major content owner with a widely used route for delivering television over the internet. Its planned timing also depends on the remaining steps before completion, including a US Department of Justice request for information.
Both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
The acquisition could help Fox compete in streaming by pairing its news, live sports and broadcasting with Roku’s established connected TV platform. Supporters may see the cash-and-stock offer and the planned role for Roku’s founder on Fox’s board as a way to combine complementary strengths while giving Roku shareholders a substantial stake in the enlarged company.
The case against
Critics may question whether the price and expected synergies justify a $22 billion deal, particularly when Fox shareholders would own most of the combined company and bear much of its long-term risk. They may also worry that combining a major media owner with a large streaming platform could reduce strategic independence or raise competition and regulatory concerns, as reflected in the Justice Department’s information request.
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