After a months-long, often-contentious back-and-forth, a major building materials distributor and an ambitious new company said Monday that they are “in discussions about a potential combination.”
QXO and Beacon said in a joint statement that they are “negotiating a definitive agreement” for the former’s $11 billion acquisition of the latter, although reaching a deal was not assured.
Beacon postponed its planned investor day event, which had been scheduled for Thursday, while QXO again extended its tender offer for the construction supply distributor.
QXO was established last year through the acquisition of a company formerly called SilverSun Technologies by Brad Jacobs — the billionaire former head of logistics provider XPO and other companies — and other backers. The company made no secret of its intent to acquire a major distributor in order to quickly gain scale in the building materials distribution market.
After Rexel rejected a takeover bid in September, QXO turned to Beacon. Although Beacon also turned down its $11 billion offer, QXO instead turned up the pressure, making a second, unsuccessful $11 billion bid, then making a tender offer and nominating its own slate of candidates for Beacon’s board in recent weeks.
Beacon also said Monday that it had reached a “strategic investment and partnership” with Renovate Robotics, a Brooklyn developer of roofing robots.
