Fox will pay $96 in cash and 0.9693 Class A shares per Roku share, valuing the deal at $160 apiece or about $19.1 billion. Fox shareholders will hold roughly 73% of the combined company and Roku shareholders about 27% upon closing in H1 next year.
Fox will pay $96 in cash and 0.9693 of its Class A common shares for each outstanding Roku Class A and Class B share. The offer values Roku at $160 per share, representing a total consideration of approximately $19.1 billion.
Upon completion, existing Fox shareholders are projected to own about 73% of the combined entity, while Roku shareholders will own approximately 27%. This allocation reflects the relative contributions of Fox’s media assets and Roku’s streaming platform.
The transaction is slated to close in the first half of next year, subject to approval by both Fox and Roku shareholders as well as customary regulatory clearances. Closing timing may shift pending completion of these reviews.
The merger gives Fox access to the Roku Channel, first-party viewer data and more than 100 million global streaming households. Executives highlighted that combining Fox’s live content portfolio with Roku’s platform and data assets should accelerate growth, scale operations and drive advertising innovation.
Barrons
