A FOX News electronic news ticker reads a headline at the News Corporation Building in the midtown area of Manhattan, New York City, USA, on July 20, 2025.
Eduardo Munoz | Reuters
fox company An agreement was reached to obtain the Roku This marks a new chapter in media consolidation as the industry grapples with changing dynamics and growing challenges.
Fox announced Monday that it would acquire Roku for $160 per share in a cash and stock deal. Fox plans to fund the cash portion of the acquisition with a combination of cash on hand and new debt. The company announced it had obtained $12 billion in financing for the transaction.
Fox stock fell 17% in morning trading Monday. Roku fell 2%, but the stock rose 20% on Friday after initial reports of a possible sale.
In addition to Fox’s news and sports channels, the integration brings together free ad-supported streamer Tubi and Roku, the streaming device maker and home of The Roku Channel, a Tubi-like service.
On Monday, Fox CEO Lachlan Murdoch said it was a “defining moment” for the company.
The offer comes about seven years after Fox’s last major deal, in which it sold its entertainment assets in a $71 billion deal. disney. Since then, Fox’s portfolio has mainly consisted of the company’s television channels: broadcast network Fox, which has been broadcasting the FIFA World Cup since last week, and cable’s Fox News Channel.
In 2020, Fox acquired Tubi for $440 million. The service had long been the company’s answer to the streaming wars until the announcement of Fox One, a direct-to-consumer option launched last year.
On a conference call with investors on Monday, Murdoch said Fox was “an early investor in Roku and a long-time commercial partner.”
He added that since 2019, Fox has “reoriented” the company around live news and sports, and focused on growing advertising revenue.
Advertising is becoming increasingly important for media companies building streaming platforms and relying on live sports and events to drive the largest audiences.
Murdoch said on a conference call with investors Monday that the companies intend to keep Tubi and The Roku Channel separate after the deal closes. He called the roughly one-third overlap between viewers “incredibly complementary services.”
Tubi believes that on-demand content is the bulk of its audience, as opposed to free channels that mimic traditional pay TV bundles.
A video billboard displaying the logo of video streaming company Roku in Times Square after its initial public offering on the Nasdaq market in New York on September 28, 2017.
Brendan McDiarmid | Reuters
“Roku has a very large advertising and subscription platform business,” Roku CEO Anthony Wood said on a conference call Monday.
Wood called Roku’s platform the leader in the U.S. market, reaching more than 100 million streaming households worldwide and counting 145 billion hours of engagement annually.
Both Wood and Murdoch said their companies were entering the deal “in a position of strength.”
Murdoch added that the addition of Roku will allow Fox to “expand into new markets clearly digitally in streaming and subscriptions and aggressively move the business into the 21st century.”
Fox said Monday that the deal is expected to deliver about $400 million in run-rate cost synergies along with additional revenue upside. Once the acquisition is complete, existing Fox shareholders will own approximately 73% of the combined company, and Roku shareholders will own approximately 27%.
The transaction has been approved by both companies’ boards of directors and is expected to close in the first half of 2027.
