FOX AGREES £16.4BN ACQUISITION OF ROKU

Fox Corp. has agreed to acquire Roku for approximately £16.4 billion, or $22 billion, in a transaction announced on Monday. The deal will combine Fox's news and sports channels with Tubi, its free ad-supported streaming service, alongside Roku's streaming devices and The Roku Channel. Fox will pay $160 per share for Roku. Fox's share price declined roughly 13% in premarket trading following the announcement, whilst Roku's shares rose approximately 2%.

The acquisition marks Fox's largest transaction in approximately seven years. Fox previously divested its entertainment assets to Disney in a $71 billion deal, after which its portfolio centred on broadcast network Fox and Fox News Channel on cable. Fox acquired Tubi, a streaming service similar to The Roku Channel, for $440 million in 2020. The company launched Fox One, a direct-to-consumer streaming option, last year.

Roku manufactures streaming devices and operates The Roku Channel as a streaming platform. The transaction reflects continued consolidation within the media and streaming sectors as the industry adapts to technological and market shifts. The deal's completion remains subject to standard conditions and regulatory approvals.