Loan & DebtJun 30, 2026, 04:37 PM
Fox Corp Secures $1.0B Term Loan for Roku Acquisition
AI Summary
Fox Corporation has entered into a $1.0 billion senior unsecured term loan credit agreement to partially finance its previously announced acquisition of Roku, Inc. The facility, contingent on the acquisition's consummation, matures two years after funding and allows for additional term loans up to $1.0 billion. The agreement includes customary covenants, interest rate options, and a commitment fee on unused amounts.
Key Highlights
- Secured a $1.0 billion senior unsecured term loan facility.
- Loan proceeds will be used to partially fund the Roku acquisition.
- Term Loan Facility matures two years after the acquisition is consummated and funded.
- Company has the ability to incur up to $1.0 billion of additional term loans.
- Interest rates are based on Base Rate or Term SOFR plus applicable margins.
- Requires maintaining an operating income leverage ratio of 4.5 to 1.0.
- Commitment fee accrues on unused commitments starting October 12, 2026.
Price Impact
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