Fox Corp will acquire Roku in a cash-and-stock deal announced June 15, with each Roku share converting to $96 in cash plus 0.9693 shares of FOXA. Roku closed at $158.18 on August 24, giving it a $23.48 billion market cap, after gaining 65.53% over the past 52 weeks. Investment management firm RGA Investment Advisors, a Roku shareholder since 2018, said it will likely keep holding the resulting FOXA shares.
Deal terms confirmed
Fox Corp (FOXA) will acquire Roku, Inc. (NASDAQ:ROKU), the companies announced June 15. Under the agreement, each Roku share will convert into $96 in cash and 0.9693 shares of FOXA.
The terms surfaced in RGA Investment Advisors' Q2 2026 investor letter. According to RGA Investment Advisors: "each share of Roku will receive $96 of cash and 0.9693 shares of FOXA". The firm said it will likely hold the FOXA shares once the transaction closes, citing enthusiasm for growth at Roku and revenue synergies between the two companies.
A position held since 2018
RGA Investment Advisors said it first bought Roku shares in late 2018 and added to the position after it almost fully round-tripped back to the firm's cost basis. The letter credited Roku's cost-structure discipline, its push to raise average revenue per user, and a share buyback program for the turnaround following pandemic-era missteps.
Roku closed at $158.18 per share on August 24, reflecting a $23.48 billion market capitalization. The stock posted a 9.92% return over the past month and a 65.53% gain over the past 52 weeks.
Source: Insider Monkey
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