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425 ·Filed Oct 6, 2026

ROKU

ROKU, INC
NEUTRAL
Impact 3/10
Horizonmonths Processed21d ago SEC0001140361-26-038815
Rule 425 M&A communications
Actionable Insight • Neutral

Monitor for further shareholder litigation or additional demand letters that could delay the special meeting. The DOJ Second Request extends the HSR waiting period; watch for any antitrust challenge or consent decree before the expected H1 2027 close.

DirectionNeutral
Confidencehigh
Horizonmonths
Latest settled — T+5d ⚠ clustered
ROKU ▼ -0.10% at T+5d
NEUTRAL call -0.10% · α vs SPY +0.88% · entry $152.73 → $152.57
Next anchor: T+20d in 7d
Latest observation: T+12 +0.99% FF3 residual α
Entry = T+0 close
Oct 6, 2026
via day close
T+1d
+0.71%
call +0.71% · α +1.13%
$153.81
settled 20d ago
T+5d
-0.10%
call -0.10% · α +0.88%
$152.57
settled 14d ago
T+20d
Pending
in 7d
T+60d
Pending
in 2mo

Price Chart

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Executive Summary

Roku filed supplemental disclosures to its merger proxy statement in response to shareholder demand letters alleging omissions in the original filing. The supplements add detail to Qatalyst Partners' DCF analysis (discount rates, Roku's $2.43B cash balance, combined net debt of negative $630M) and selected companies analysis, and cap transaction bonuses at $13M aggregate. The filing is a routine litigation-avoidance step that does not change deal terms or close timeline.

Key Financial Metrics

Deal Type
merger

Key Facts

  • Roku received demand letters from purported stockholders alleging omissions/misstatements in the Joint Proxy Statement/Prospectus
  • Roku voluntarily supplements disclosures without admitting merit; denies all allegations
  • Supplement adds detail to Qatalyst's DCF: standalone Roku discount rate range 12.5%-18.0%, combined company 9.0%-13.0%
  • Roku's projected cash as of June 30, 2026: approximately $2.43 billion
  • Combined net debt of Roku and FOX as of June 30, 2026: approximately negative $630 million (excluding merger impact)
  • Transaction bonuses capped at $13 million aggregate; $2M max for CEO-direct reports, $600K for others; CEO Wood excluded
  • Selected companies analysis tables added with fully diluted enterprise values and CY2026E EBITDA multiples for Alphabet, Meta, Pinterest, Snap, Spotify, Netflix, AppLovin, Magnite, The Trade Desk
  • Deal expected to close by first half of calendar year 2027; DOJ Second Request received September 8, 2026

Financial Impact

No change to deal economics; supplemental disclosures add detail to fairness analysis and cap transaction bonuses at $13M aggregate

Risk Factors

  • Shareholder litigation could delay or derail the merger vote
  • DOJ Second Request signals heightened antitrust scrutiny; potential for challenge or remedies
  • Transaction bonuses capped at $13M may not be sufficient to retain key talent through close

Investment Themes

Documents Analyzed

This report is based on 4 SEC documents filed with EDGAR.

DocumentAccession Number
425 Filing (Primary)0001140361-26-038815
Document: 0001140361-26-038815-index-headers.html0001140361-26-038815
Document: 0001140361-26-038815-index.html0001140361-26-038815
Document: 0001140361-26-038815.txt0001140361-26-038815
41 reports for ROKU
Performance horizon
60% Hit rate @ T+60 3 of 5 directional calls Went positive at some point 8 of 8 best @ T+60▲ +11.72%Jun 15, 2026
Filters
Rows
Reports for ROKU — sortable, filterable
TypeNow
Oct 23, 2026
4d ago
Institutional Cluster
BEARISH ★ 4/10
$158.58awaiting T+60—$156.66 (+1.21%)
Oct 6, 2026
21d ago
425
NEUTRAL ★ 3/10
$152.73awaiting T+60—$156.66 (+2.58%)
Oct 6, 2026
21d ago
8-K
NEUTRAL ★ 3/10
$152.73awaiting T+60—$156.66 (+2.58%)
Oct 5, 2026
21d ago
Insider Cluster
NEUTRAL ★ 3/10
$152.06awaiting T+60—$156.66 (+3.03%)
Oct 1, 2026
26d ago
144
NEUTRAL ★ 2/10
$152.39awaiting T+60—$156.66 (+2.80%)
Sep 17, 2026
5w ago
425
NEUTRAL ★ 3/10
$153.64awaiting T+60—$156.66 (+1.97%)
Sep 9, 2026
6w ago
Insider Cluster
NEUTRAL ★ 3/10
$154.12awaiting T+60—$156.66 (+1.65%)
Sep 3, 2026
7w ago
Insider Cluster
NEUTRAL ★ 2/10
$155.59awaiting T+60—$156.66 (+0.69%)
Sep 1, 2026
8w ago
DEFM14A
BULLISH ★ 7/10
$155.53awaiting T+60—$156.66 (+0.73%)
Aug 7, 2026
11w ago
Insider Cluster
BEARISH ★ 5/10
$151.84awaiting T+60—$156.66 (−3.17%)
Showing 10 of 41

US Market Status

Market Closed — Opens Wed (16h 35m)

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Report published Oct 6, 2026