Fox Corporation (Class A) (FOXA)
Communication Services2 articles
Market Mood
Fox to Acquire Roku for $22 Billion, Stock Movement Observed
Fox Corp. (FOXA) has announced it will acquire Roku (ROKU) for approximately $22 billion, equating to $160 per share. Following the announcement, Fox's stock fell by about 13% in premarket trading, while Roku's stock increased by around 2%. This acquisition aims to merge Fox's existing news and sports channels with Roku's streaming capabilities. Previously, Fox made a significant acquisition in 2020, purchasing Tubi for $440 million, indicating its strategy to enhance its streaming portfolio amid market changes.
Read More
Fox Corporation (FOXA) to Acquire Roku for $22 Billion Deal
Fox Corporation (FOXA) has agreed to acquire Roku (ROKU) for $160 per share, valuing the streaming platform at approximately $22 billion. The transaction involves $96 in cash and 0.9693 shares of Fox Class A common stock per Roku share, a premium of 11.4% over Roku's last closing price. The deal is set to be funded through new debt and cash, with $12 billion in bridge financing secured by Morgan Stanley. Upon completion, Fox shareholders are expected to hold 73% of the combined entity, with significant anticipated cost synergies of approximately $400 million by the second year after closing.
Read More