QXO to Buy TopBuild in $17 Billion Building Products Deal

Article content(Bloomberg) — QXO Inc. said it’s acquiring insulation company TopBuild Corp. for about $17 billion, making QXO the second-largest publicly traded building products distributor in North America.Sign In or Create an AccountEmail AddressContinueor View more offersArticle contentQXO’s offer values TopBuild at $505 per share, a 23% premium to the stock’s closing price of $410.31 on Friday. QXO plans to pay 45% of the aggregate transaction value in cash and offer 20.2 shares of its common stock for the remainder. Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article contentThe transaction, which is expected to close in the third quarter of 2026, would follow QXO’s acquisitions of Beacon Roofing Supply Inc. in 2025 and Kodiak Building Partners this year.Article contentArticle contentBeacon was QXO’s first acquisition, marking Chief Executive Officer Brad Jacobs’ first step in a plan to turn QXO into a $50 billion-revenue company within a decade. It also tried to buy GMS Inc., which Home Depot Inc. acquired.Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentGreenwich, Connecticut-based QXO has been on a fundraising spree to boost acquisitions. In January, the company said it’s raising another $1.8 billion from investors including Apollo Global Management Inc. and Temasek Holdings Pte. Article contentQXO said in a statement it expects the combination of distribution of its products including roofing, waterproofing and lumber-related building materials with TopBuild’s insulation business to create a “higher-margin business with expansive value-added offerings for customers.” Article contentTopBuild will be our most significant acquisition yet, making QXO the second largest publicly traded building products distributor in North America, with more than $18 billion of combined company revenue and more than $2 billion of combined company adjusted EBITDA,” Jacobs said in the statement.Article contentAfter the acquisition, QXO will have some 28,000 employees, 1,150 locations across the US and Canada.Article content—With assistance from Georgie McKay.Article content(Updates with combined workforce in last paragraph, adds QXO’s recent acquisitions.)Article contentTrending Bank of Canada's Macklem says he has spoken to Fed chair about risks from Anthropic's Mythos AI model Banking Trump Says New Iran Talks to Seek End of Hormuz Standoff PMN Business 'The impacts are massive': U.S. tariff change pushes Canadian manufacturers to the brink Economy IMF sees Canada's fiscal position as strongest in G7 Economy Posthaste: Why Canadians might be doomed to suffer a 'new normal' for oil prices News Share this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. Bank of Canada's Macklem says he has spoken to Fed chair about risks from Anthropic's Mythos AI model Banking Trump Says New Iran Talks to Seek End of Hormuz Standoff PMN Business 'The impacts are massive': U.S. tariff change pushes Canadian manufacturers to the brink Economy IMF sees Canada's fiscal position as strongest in G7 Economy Posthaste: Why Canadians might be doomed to suffer a 'new normal' for oil prices News