Fox Corp's pro forma filing for the $23.2B Roku deal reveals a combined revenue base of $22B and net income of $618M
FOXA sits 31% above its 52-week low of $48.34.
Summary
Fox Corp's amended 8-K reveals pro forma combined financials for the Roku acquisition: $22.0B revenue, $618M net income, and $1.05 EPS, with $16.4B in pro forma debt and $13.1B in goodwill.
Key Events · M&A and Partnerships · FOXA
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Pro Forma Combined Financials Disclosed
For the year ended June 30, 2026, the combined company would have reported revenue of $22.0 billion and net income attributable to Fox stockholders of $618 million, with diluted EPS of $1.05.
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Purchase Price Allocation Details
The preliminary allocation assigns $8.5 billion to identifiable intangible assets—trade name, technology, and customer relationships—and $13.1 billion to goodwill, with a net deferred tax liability of $870 million.
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Financing Structure and Pro Forma Debt
Pro forma borrowings total $16.4 billion, including a $1 billion term loan and $8.8 billion bridge facility, with $9.8 billion in net new debt to fund the $14.6 billion cash portion of the consideration.
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Transaction and Integration Costs
Estimated transaction costs of $153 million and incremental compensation expense of $397 million related to Roku equity awards will impact post-close earnings.
Analysis · FOXA · Technology
This amended 8-K delivers the first detailed look at the combined company's financials, with pro forma revenue of $22.0 billion and net income of $618 million for the year ended June 30, 2026. The filing quantifies the acquisition's impact: $8.5 billion in new intangible assets, $13.1 billion in goodwill, and $16.4 billion in pro forma debt. While the pro forma EPS of $1.05 reflects significant dilution from the 147.6 million new shares issued, the combined entity's scale and the strategic rationale remain intact. The detailed purchase price allocation and financing structure give investors concrete numbers to assess the deal's value creation and leverage profile.
At the time of this filing, FOXA was trading at $63.50 on NASDAQ in the Technology sector, with a market capitalization of approximately $25.3B. The 52-week trading range was $48.34 to $76.39. This filing was assessed with neutral market sentiment and an importance score of 9 out of 10.