QXO set to acquire Kodiak Building Partners for $2.25 billion

"The deal is expected to close early in the second quarter, according to a source familiar with the deal. The purchase price is $2 billion in cash plus 13.2 million QXO shares, and QXO will retain the right to repurchase those shares at $40. The source also noted that QXO has the capacity for more deals."

"Kodiak Building Partners is a national distributor of construction materials such as lumber, engineered wood, doors, windows, trusses and gypsum products. According to a QXO spokesperson, Kodiak Building Partners has $2.4 billion in annual revenue. The acquisition triples QXO's market opportunity to over $200 billion and opens up new inroads for QXO in almost every major building products category. The acquisition moves QXO into lumber, trusses, gypsum and construction supplies, with complementary fabrication, assembly, and installation capabilities, creating a more complete offering in exteri"

QXO will acquire Kodiak Building Partners from Court Square Capital Partners for $2.25 billion, consisting of $2 billion cash and 13.2 million QXO shares with a $40 repurchase right. The deal is expected to close early in the second quarter and adds a top-five national distributor with $2.4 billion in annual revenue. The acquisition expands QXO's presence into lumber, trusses, gypsum, doors, windows, engineered wood, and construction supplies while adding fabrication, assembly, and installation capabilities. The transaction triples QXO's market opportunity to over $200 billion and supports an aggressive plan to grow annual revenue from about $10 billion to $50 billion within roughly five years.

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