NEW YORK - QXO, Inc. (NYSE:QXO), North America's largest publicly traded distributor of roofing and waterproofing products, announced Thursday its intention to offer $750 million of common stock shares. The company, currently trading at $25.02 with a market capitalization of $17.2 billion, has seen its stock surge nearly 70% over the past year.
The company will grant the underwriter, BofA Securities, an option to purchase up to an additional $112.5 million of shares at the public offering price less underwriting discounts and commissions.
According to the press release statement, QXO plans to use the net proceeds for general corporate purposes, which may include funding future business acquisitions.
The offering will be made through a prospectus supplement under QXO's effective registration statement on Form S-3ASR filed with the Securities and Exchange Commission.
QXO describes itself as a distributor of roofing, waterproofing and complementary building products across North America. The company states it aims to reach $50 billion in annual revenues within the next decade through acquisitions and organic growth.
The stock offering announcement comes after QXO's acquisition of Beacon Roofing Supply, Inc., though the press release did not specify when this acquisition occurred.
BofA Securities is serving as the sole underwriter for the offering. Prospective investors can obtain copies of the preliminary prospectus supplement and accompanying prospectus from BofA Securities.
The company noted that the press release does not constitute an offer to sell securities, and the offering may only be made through the prospectus supplement and accompanying prospectus.
In other recent news, QXO Inc. announced preliminary financial results for the fourth quarter of 2025, reporting unaudited net sales of approximately $2.19 billion and an adjusted EBITDA of around $150 million. Additionally, an investment group led by Apollo Global Management has agreed to invest over $1 billion in QXO, supporting the company's acquisition strategy. Despite these developments, William Blair analyst Ryan Merkel lowered his fourth-quarter EBITDA estimate for QXO to $152 million, citing a weak roofing survey. This estimate is significantly below the Street consensus of $203 million. Truist Securities also lowered its price target for QXO to $26 from $28 while maintaining a Buy rating due to continued market pressures. The firm adjusted its fourth-quarter 2025 EBITDA estimate to $170 million from $214 million. These recent developments highlight significant financial activities and analyst adjustments surrounding QXO.