QXO has agreed to acquire Kodiak Building Partners from Court Square Capital Partners for $2.25 billion, comprising $2 billion in cash and 13.2 million QXO shares. This marks QXO's second major deal following its $11 billion Beacon Roofing acquisition last year. Kodiak, a leading building products distributor, generated $2.4 billion in revenue and $211 million in EBITDA in 2025. The acquisition triples QXO's addressable market to over $200 billion and expands its portfolio into lumber, trusses, gypsum and construction supplies. Around 40% of Kodiak's revenues come from Florida and Texas. The deal is expected to be highly accretive to earnings this year. QXO, led by serial acquirer Brad Jacobs, aims to reach $50 billion in annual revenue within a decade through acquisitions and organic growth.

QXO to acquire Kodiak for $2.25 billion. Cash-and-stock deal expected to close in Q2 2026. February 11, 2026 QXO Inc. has agreed to acquire Kodiak Building Partners from Court Square Capital Partners for about $2.25 billion in cash and stock, the companies announced Tuesday. The purchase price includes $2 billion in cash and 13.2 million QXO shares. QXO retains the right to repurchase those shares at $40 each. The transaction is targeted to close early in the second quarter of 2026, subject to customary conditions, and is expected to be highly accretive to 2026 earnings, with gross margins above QXO's core business, according to a company spokesman. Kodiak generated approximately $2.4 billion in revenue in 2025. The company distributes lumber, trusses, windows and doors, construction supplies, waterproofing and roofing products through 110 locations in 26 states and employs about 5,500 people serving more than 10,000 customers. A QXO spokesman said the acquisition will triple QXO's existing market opportunity and expand its total addressable market to more than $200 billion, moving the company into lumber, trusses, gypsum and construction supplies, and placing it in nearly every major building products category. QXO is paying about 10.7 times Kodiak's 2025 EBITDA of $211 million, or roughly 0.95 times sales, the spokesman said. Including expected synergies, the EBITDA multiple would be about 7.3 times. "The acquisition of Kodiak is highly complementary to our existing business," said Brad Jacobs, QXO's chairman and CEO. "We expect the integration to accelerate margin expansion through scaled procurement, network optimization, AI-powered inventory management and other technology-enabled operating efficiencies." The company said 16 of Kodiak's top 20 vendors overlap with its legacy Beacon operations, which it expects will support procurement and pricing synergies. Industry analysts said the deal could have significant implications for roofing distribution. "QXO's acquisition of Kodiak Building Products could meaningfully shake up the roofing market," said Lilli Tillman Smith, an analyst at Principia. She said Kodiak's regional contractor relationships, combined with QXO's scale and technology focus, could improve pricing, inventory management, and delivery speed. "With more centralized purchasing power and better data, the combined company could compete more aggressively with national distributors while giving contractors more consistent pricing and product access across locations," Tillman Smith said. She added that manufacturers may face pricing pressure but could benefit from broader distribution reach. In insulation, Tillman Smith said changes may unfold more gradually because the category is more specification-driven and influenced by climate zones and building codes. "Roofing may see quicker competitive disruption, while insulation could experience a slower but deeper shift," she said. A person familiar with the matter said QXO has capacity for additional acquisitions in 2026, supported by cash on hand, proceeds from recent equity financings led by Apollo and Temasek, and available borrowing capacity. The deal follows months of investor and industry attention on QXO's acquisition plans after the company raised significant equity capital. Morgan Stanley and Wells Fargo are advising QXO on the transaction. RBC Capital Markets and KeyBanc Capital Markets are advising Kodiak. Looking for a reprint of this article? From high-res PDFs to custom plaques, order your copy today! Tanja Kern is the senior strategic content editor of Roofing Contractor. She brings more than 20 years of experience covering the construction and design industries through print and digital platforms. JOIN TODAY to unlock your recommendations. Already have an account? Sign In

Brad jacobs-led QXO boosts financing deal to $3 billion. Money to power company's acquisition strategy. QXO Inc. is raising another $1.8 billion from investors including Apollo Global Management Inc. and Temasek Holdings Pte, comfortably more than doubling the $1.2 billion financing deal it announced last week. The money boosts QXO's total financing to $3 billion and will support the company's acquisition strategy, according to a statement Jan. 12 that confirmed a Bloomberg News report. Other investors including PGIM and Iconiq Capital are joining the Apollo-led consortium, a person familiar with the matter said, asking not to be identified discussing confidential information. Representatives for for PGIM and Iconiq didn't immediately respond to requests for comment. The increased financing underscores institutional investors' confidence in QXO CEO Brad Jacobs, the serial dealmaker who set up the company about three years ago to roll up the building products sector after successful consolidation plays in the logistics and waste management industries, among others. He is executive chairman of XPO and non-executive chairman of RXO and GXO Logistics. He has done hundreds of M&A deals in his career. QXO rose 1.42% to close at $25 in New York trading Jan. 9, giving the Greenwich, Conn.-based company a market value of about $17 billion. The stock has gained about 27% since announcing a financing deal on Jan. 5. QXO acquired Beacon Roofing Supply Inc. for $11 billion including debt last year after winning a takeover battle. That marked QXO's first and only acquisition so far, representing 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. Jacobs is holding talks with seven different targets, a person familiar with the matter said last week. Temasek, PGIM and Iconiq are investing in QXO under the same terms as Apollo in the relatively novel deal. The investors have committed to purchase Series C preferred stock to fund one or more acquisitions by QXO by mid-July. The new convertible preferred stock will pay an annual dividend of 4.75% with a conversion price of $23.25 per share. QXO targets a wide range of products to distribute, including construction materials, plumbing supplies, fencing and decking, finished products such as doors and windows, and even heating and cooling equipment. Last summer, QXO sold $2 billion in shares to replenish its coffers following the Beacon acquisition.