QXO announced it has entered into a definitive agreement to acquire Kodiak Building Partners from Court Square Capital Partners for approximately $2.25 billion, a deal the company expects to be highly accretive to 2026 earnings and to expand its current addressable market to more than $200 billion.
The purchase price will consist of $2.0 billion in cash and 13.2 million shares, with QXO retaining the right to repurchase those shares at $40 per share. QXO said it expects the transaction to close early in the second quarter of 2026, subject to customary closing conditions.
Kodiak generated approximately $2.4 billion of revenue in 2025 as a U.S. distributor of lumber, trusses, windows and doors, construction supplies, waterproofing, roofing, and complementary exterior products, alongside value-added assembly, fabrication, and installation services. The company described Kodiak as a market leader in most of its geographies, with a footprint concentrated in the Sun Belt and Mountain states, and said roughly 40% of Kodiak’s 2025 revenue came from Florida and Texas.
QXO said the combination is intended to broaden what it can offer across structural and exterior building products and strengthen its ability to serve large homebuilders. The company also said it expects the integration to support margin expansion through scaled procurement, network optimization, AI-powered inventory management, and other technology-enabled operating efficiencies, while continuing to pursue additional acquisitions.
QXO said it is pursuing a strategy to become a tech-enabled leader in the building products distribution industry and aims to reach $50 billion in annual revenue within the next decade through acquisitions and organic growth. Kodiak, founded in 2011, said it has approximately 5,500 employees across 110 locations in 26 states and serves more than 10,000 customers across contractor, remodeling, and residential, commercial, and industrial building end markets.
Support: Morgan Stanley & Co. and Wells Fargo are acting as financial advisors to QXO, and Paul, Weiss, Rifkind, Wharton & Garrison is serving as legal counsel. RBC Capital Markets and KeyBanc Capital Markets are serving as financial advisors to Kodiak, and Dechert is serving as legal counsel.
KEY QUOTES
“The acquisition of Kodiak is highly complementary to our existing business. We’ll be able to deliver more value to customers across our combined base by cross-selling products and support services, and with a greater presence in key markets. And we expect the integration to accelerate margin expansion through scaled procurement, network optimization, AI-powered inventory management, and other tech-enabled operating efficiencies. Our acquisition pipeline remains very active, with plenty of dry powder from our recently announced equity financings led by Apollo and Temasek.”
Brad Jacobs, Chairman And Chief Executive Officer, QXO
“QXO is the most exciting company in the industry. By joining forces, we’re moving from strength to strength to unlock new opportunities for our customers and employees. I want to thank our employees for building a high-quality business at Kodiak and for the value created over the past 15 years, including the last eight with Court Square. I look forward to an even more exciting future as part of QXO.”
Steve Swinney, Co-Founder And Chief Executive Officer, Kodiak Building Partners
