Netflix (NFLX) shares declined following reports the company lost a bidding war for streaming platform Roku. Fox Corporation announced a cash-and-stock deal to acquire Roku for approximately $22 billion on June 15.
The acquisition combines Fox’s content portfolio and Tubi service with Roku’s distribution platform. Roku currently reaches more than 100 million households.
Reports on June 16 indicated Netflix submitted a lower bid than Fox and faced higher antitrust risks. A Netflix spokesperson stated the company never submitted a formal offer for Roku.