Roku stock gains after company confirms deal for Quibi catalog

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Roku Inc. announced Friday morning that it has purchased the distribution rights to more than 75 shows and documentaries produced by Quibi. The company plans to make the shows available for free to Roku users on an ad-supported basis this year. Many of the shows previously aired on the Quibi platform but will now appear exclusively on The Roku Channel, which is the company’s hub for free, ad-supported content. More than a dozen of the programs in the Quibi catalog have yet to previously air and will make their first debuts on Roku’s platform. Financial terms of the deal weren’t disclosed. Roku shares are up 3.4% in Friday morning trading after closing at a record high in Thursday’s session. Roku was reported to be in talks to purchase the Quibi catalog earlier this month. Quibi was a heavily funded video service that aimed to make high-quality, short-form content, but the company had to shut down months after its launch as the service failed to get much traction. Roku shares have added 85% over the past three months as the S&P 500 has risen 12%.
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