QXO has reached an agreement to acquire North America’s largest distributor of installation and other building products, the company announced Sunday.
The proposed $17 billion buyout of TopBuild would be QXO’s third and largest acquisition to date, and, officials said, would make QXO the second-largest publicly traded building products distributor in North America. The company added that the TopBuild deal would combine roofing, waterproofing, lumber and insulation capabilities.
“TopBuild has a deep bench of best-in-class operators, reflected in its industry-leading adjusted EBITDA margin of approximately 18%,” QXO Chairman and CEO Brad Jacobs said in the announcement. “We plan to replicate their best practices across QXO, including deploying their ‘special OPS’ teams to continuously improve operational excellence and customer service.”
QXO, formed by Jacobs and other backers in 2024, acquired Beacon for $11 billion last year and Kodiak Building Partners for more than $2 billion earlier this month. The addition of TopBuild would bring the company's footprint to 1,150 locations across all 50 states and seven Canadian provinces, as well as a staff of about 28,000 and a fleet of more than 10,000 vehicles.
The transaction is expected to close in the third quarter of this year, subject to shareholder approval and other closing conditions. The deal has been unanimously approved by each company’s board of directors.
“We’re excited to join QXO and combine our leadership in insulation installation and specialty distribution with QXO’s scale, technology and procurement capabilities,” TopBuild CEO Robert Buck said in the statement. “Together, we’ll enhance customer service, unlock meaningful cross-selling opportunities, and drive continued growth and operating efficiency.”
